|Member Sentiment Bearish|
Live and Historical EUR/JPY Rates
The chart above compares the euro against the yen of Japan - how many yen will purchase one euro. The euro is a major currency used in much of international trade as is the yen. However, when considered together as EUR/JPY, they form neither a major pair nor a commodities pair.
The euro is the currency for almost all the nations of the European Union (EU). (The United Kingdom and Switzerland are notable holdouts). In addition, the currencies of 23 other nations are pegged to EUR. EUR is the second most traded currency in the world. Such expansive influence makes it hard to believe that EUR has only been in play since 1999. Naturally, the market strength of the euro is strongly impacted by the major industries of the countries that make up the Eurozone. These industries include tourism, manufacturing, and agriculture. Though widely used, questions remain about the staying power of he euro, in part because of weakening economies in some EU nations (Portugal, Italy, Greece and Spain).
The Japanese Yen
The Japanese yen is a widely traded currency in the world market and it ranks as the fifth most popular reserve currency. The Bank of Japan exercises its governing power over the value of JPY and has kept interest rates low in the decades following 1990. This was an attempt to grow the value of JPY. As a result, JPY became more popular with investors as a carry currency, causing the yen's value to drop. When used in a currency pairing, the pip moves from its usual fourth place (.0001) to the second place (.01) after the decimal.
The greatest value flows between EUR/JPY through their common trading partner-the US. As such, the best foundation for evaluating the pair is through their pairing with USD. Both are large currencies and relatively stable in their value. Both countries also have relatively similar industries, with Japan having a greater dependence on manufacturing, and Europe more involved in finance. At times, this pair may be a effective for carry trading. But the best opportunities for profit usually arise from some type of change against the value of USD.
April 15, 2014 at 5:05 AM • Comment
*USDJPY negative pressures favour a more notable top below 101.20*Read More
April 14, 2014 at 2:26 PM • Comment
Key Fundamental Forex Events and Forecasts for the Coming Week The following table lists the key economic data and other events that are due out during the week of April 14th–April 18th, with release times displayed for the GMT time...Read More
April 11, 2014 at 3:40 PM • Comment
Key Fundamental Forex Events for the Week of April 7ththrough April 11th The following table lists the key economic data and other events that came out during the week of April 7th through April 11th, with release times displayed...Read More
April 09, 2014 at 5:27 AM • Comment
*EURUSD bear pressures intact whilst below 1.3815/20, to aim for 1.3645 through mid-April*Read More
April 07, 2014 at 10:53 AM • Comment
Key Fundamental Forex Events and Forecasts for the Coming Week The following table lists the key economic data and other events that are due out during the week of April 7th – April 11th, with release times displayed for...Read More