U.S. Dollar/Japanese Yen (USDJPY)

Posted on | No comments
Build levels within period :

Classic levels

The nearest levels

Trend

Candlestick statistics

Volatility

Currency pair Dollar- Yen (designation in market USD /JPY) is considered one of the most popular assets in the market. This arises from many factors including that Japan economy is perceived as third place in the world. We’ll discuss the features for USD/JPY asset trading without being tired to Forex and binary options but from main standpoint that similar for all market.

Asset distinctive feature

I ‘d like to warn rookies that the asset is quite dangerous at the beginning of article. It’s a surprising thing, but many beginners choose this asset for operation. They are under illusion that operation with asset is very simple . But it’s mistake because asset dollar USD/Japanese yen is a very heavy one that requires detailed study.

USD JPY ($/¥) chart online

Please introduce yourself the online rate USD/JPY. This is a special graph where you can monitor quotes in real-time and can perform the technical analysis of the market.

Real-time graph for currency pair USD /JPY

I would like to say that USD/JPY graph online operates without need to set any applications. Everything is on the web-site and it’s accessible for you. Only use!

Volatility and and activity time

As to dry figures that 20% at the average of all daily trading are occurred with this currency pair in the international exchange market. It ranks second in popularity. The asset $/¥  is active during a whole day in comparison with other assets. The maximum moves is observed during Asiatic regular trading hours but American regular trading hours moves the USD / JPY rate actively online. It is shown by trading volumes best of all that are roughly equatable during a day.

This is evident that sharp trends are not monitored hence the asset can fall to flat or start a trend at any point. As to asset’s volatility actually it is not high and comprises 90 points a day.

Tendency to sharp and longstanding move

Please pay your attention that pair Dollar-Yen runs into active move in the same direction with what easiness. Especially it is clearly distinguished on small time frames that are felt well by supporters of binary options in trading on reversal.

This is not about trends and impulses but about candlesticks number in a row in the same direction. Ten or nine candlesticks in a row in the same direction were formed on the graph. That’s why is you trade on reversal please use Martingale and take into account this feature of asset. It is this feature has killed hundred and thousand deposits (especially Martingale supporter).

What events do affect the rate?

Why so the currency pair USD/JPY is popular? Why particular the two currencies are joined together? The answer is very simple. Relations between economies of these two countries are huge. About 20% of Japanese export falls for USA. As a result the relations between countries are very intense and therefore the currency pair development is interdependent. Moreover we can show that USD rate to Japanese yen reflects correlation of American and Asiatic economy as a whole.

We consider the main features as to dollar in our article about currency pair EUR-USD. That’s why we won’t repeat and consider economic factors influence on yen.

There are some of them:

  • Political news concerning as a country itself as relations with с other states.
  • Any economic news regarding a bank system
  • Energy prices are so important because Japan economy is very dependent on them
  • Situation on Asiatic markets and exchanges.

Everything influence on pair USD JPY.

Interrelations with other assets

Main relation between graphs USD/JPY is observed with the largest Japanese share index Nikkei 225.  Generally quotes of these two assets remind each other very much. Some traders have noticed the following regularity:  if Nikkei begin to fall and USD/JPY is growing yet it is reasonable to close current positions long and think of opening short. Indeed correlation between these assets is close to 100% that’s why currency underrun from index may be temporal and the currency will begin to fall shortly. This is primitive but very profitable strategy on Yen.

There is a hypothesis for actual asset is closely related with index S&P500 but this relation is very ghostly in practice. It may be used only with correlation indicators operating in case when this sequence is emerged clearly.

Graphic operation

The currency pair dollar-yen is suitable perfectly for traders that use the Fibonacci levels in analyst, for example. Please pay attention on the Figure.

In is apparent clearly that the price responds very well later on the each intense level of previous move. It is important feature upon which you may build the trading strategy.  The USD /JPY asset is also used for building of graphical analysis forms.  At that the market does not produce false breakouts generally.  Although forms are not often produced.

Leave a Reply

Your email address will not be published. Required fields are marked *