USD/JPY is currently at 135.44 after putting in what appears to be a top. The pair has convergence to the downside. We are looking for a continuation to the ATR target at the 134.53 area and then the S4 at the 134.39 area.
Watch the USDX for any change in direction; at time of writing, the index was threatening to move up. The ATR for the pair currently is 171 pips per day and its 180 day average is 146 pips per day.