After a detour through an unknown city and Tengu Mountain, you finally reach Izumo.
Explore Izumo
In this area, beware of crows that fly overhead and try to drop bombs on you. Make sure not to stand in their path even if they look like they're overhead, because they can still hit you even if it looks like they're not exactly where you are. There are also thieves, who will steal money from you if they hit you.
Izumo has only one area to explore. If you go left from where you start, you can go straight to the gate that leads to Dragon Pond, but if you want to explore this area, go to the right instead.
There are a couple of houses, followed by a general store, a restaurant, a jutsu dojo where you can learn technique 1 (tiger) and technique 3 (flying), a dice game, another general store, and a concentration game.
To the right of that, there is a brief stretch with no shops, then to the right of that, a sauna, a house, a jutsu dojo that teaches technique (1) and technique 2 (lightning), and finally, a logbook shop where you can get a password to continue your game.
Finally, if you go to the right, there is a Torii gate that leads to the next area, Dragon Pond. (If you keep going to the right, you'll end up back where you started.)