The USD/JPY made a bearish bounce atthe resistance trend line (red) but a breakout below the support trend line (blue) is still needed before the wave B (purple) pattern becomes more likely and can be confirmed.
The USD/JPY bearish breakout would be part of a larger ABC (purple) zigzag pattern within wave Y (pink). A break above the resistance trend line (red) could see price move up towards the 78.6% Fib and expand wave X (pink).
The USD/JPY is testing the support (blue) and resistance (red) trend lines and the breakout will be an important factor for the next direction.
