After the previous impulse move (A), the following corrective move resulted in a (triple bottom if you go to a smaller time scale) which then led to a move back up to challenge the high of the impulse wave.
Fast forward to the most recent impulse wave (B) and right now, we again are seeing the same thing playing out but on a smaller scale. This is the nature of fractals.
Following this logic, we should see the current hold (or even a small false break down of the current followed by prices returning to the consolidation zone) and prices will again retest the current high of the recent impulse wave.
Either way, I'm looking to stay long in this pair for yet another wave higher and this to repeat itself a 3rd time before finally exhausting itself and subsequently seeing a large corrective wave down.
See my related idea on 2 possible BATs that could be setting up in this pair right now that goes along with this idea:
"USDJPY Triple Bottom and 2 Potential BATs"
Sign up to mailing list: http://bit.ly/2iNieEY
Facebook Group: https://www.facebook.com/efxselect