FX strategists at UOB Group suggest that USD/JPY is likely to trade within a rangebound theme in the near term.

• "24-hour view: While we noted yesterday that “upward momentum is not strong”, the manner of which USD plunged from the Asian hours high of 108.98 was clearly not expected. The decline is accompanied by relatively strong downward momentum and USD could test the 108.00 support. For today, a move below 107.75 is unlikely. On the upside, 108.65 is likely strong enough to cap any intraday recovery (minor resistance is at 108.45).
• Next 1-3 weeks: Our view from yesterday (10 Jul, spot at 108.90) wherein USD is expected to move to 109.30 was proven wrong quickly as it plummeted after touching a 5-week high of 108.98. The rapid drop took out the 108.35 "key support" (overnight low of 108.33). From here, USD is deemed to have moved into a sideways-trading phase and is likely to trade within a relatively broad range of 107.50 and 108.95."