The current USDJPY structure shows a cycle degree correction with wave a most likely followed by a corrective wave b. The latter hints to a primary degree zigzag, consisting of sub-waves Ⓐ-Ⓑ and Ⓒ, as seen above.
At the time of writing, primary wave Ⓑ is under construction.
This corrective wave could begin to appreciate in an intermediate degree pattern consisting of sub-waves (A), (B) and (C). near 109.25.
Wave (C) could end near 109.25, a target calculated as the 78.6% Fibonacci retracement of Ⓐ and Ⓑ.
Contrary to the likely scenario playing in, an alternative pattern should be considered, as seen above.
This one sees the primary impulse wave Ⓐ as incomplete with the current upside of intermediate wave (4)’s correction.
The completed intermediate wave (4) correction is considered as a flat pattern that consists of minor sub-waves A-B and C.
In an expanded flat wave B is often 14% larger than wave A and wave C is often 14% larger than wave B. Hence, we could see the completion of the intermediate correction (4) ending near 108.77.
This could be followed by a decline to approximately the 107.50 area, where primary Ⓐ would end.