I've been watching the USDJPY closely and prices are currently at an interesting juncture.
The current sell off has overlapped the green circle on the chart. This creates a 3 wave move from the June 4 low to the June 5 higher. This suggests that prices are likely to retrace the whole pattern and revisit the 123 handle.
I'm labeling the current wave iv as an expanded flat. Circle "A" wave of the expanded flat was about 125 pips and 125 pips for circle "C" puts us near current levels. So its possible for prices to bounce higher now, but my preferred view is a deeper dip to about 123.
Near 123, we are offered a better risk to reward ratio long trade.
Sorry for the messy chart (with all of the lines). The channel lines will help us determine what degree of trend we are on.
An updated and interactive chart was just created at the link "Tradable Low Formed-Be Nimble"
JWagnerFXTrader
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June 9 update = still looking for this correction to dig a little lower. So long as we stay below the blue dotted line, the pressure remains to the downside.