The USDJPY decline from 108.57 could be the beginning of larger wave 3.
However, it is not yet safe to enter from the short side. For timing purposes, we are focusing on the very short term pattern today. The rally from 104.99 is an impulse (5 waves) and the subsequent drop is a correction (zigzag). Price should then exceed 106.38 in the next day or so. We’ll look for a top and reversal near 107.11 (6/17 top and 61.8% of 108.41-104.99).