As expected, the corrective wave (ii) continues to rally on the higher ranges but should not go beyond 111.78 from where we'll be looking to go short at low risk. The anticipated bearish price rally from 111.78 is the unfolding of the impulsive wave (iii) and should not go beyond 108.94. A break below this level,108.94, will push the price further to the lower side but should not go beyond 102.96. This view is supported by the fact that, CADJPY, shown below, is having a similar pullback and should not go beyond 83.49, thus, when we'll be looking to sell USDJPY around 111.78 we'll be looking to sell CADJPY around 83.48.
CADJPY Daily Chart
These pairs have a strong positive correlation of up to +85% and will move in the same direction during this intraday.
If you're not short already, wait for a clear rebound 111.78 to go short with an ideal target at 108.94