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Eurjpyanalysis

Why is EUR/JPY important to traders? LONGOne of the popular pairings across the worldwide foreign exchange market is EUR/JPY. It represents around 3% of all daily transactions and is actually the seventh most-traded currency pair on the market. Investors and traders alike look to the euro/Japanese yen currency pair because high levels of volatility can provide plenty of trading opportunities Most people have a basic understanding of the euro and how it came to be, so let's start off with the Japanese yen. As the third most widely traded currency in the world, and the fourth reserve currency (behind the US dollar, the euro, and pound sterling), the yen is a very popular option for those who wish to begin trading. The yen has a rich and complex history (compared to the relative infancy of the euro) and was officially adopted by the Meiji government in the year 1871. Since then it has grown in value considerably, mostly due to the strength of Japan’s industrial base. Agricultural enterprises, advanced production of various products and food and a thriving technology industry have all helped to catapult the yen into being one of the most popular currencies to trade on the forex market. The story of the euro is much simpler, but nonetheless an interesting look into a modern currency. The euro was only conceived in the 20th century, and physical notes and coins for the euro weren't released until the 90s. Now the euro is the currency for many European countries. Although the euro is a relatively new currency, the euro has had its fair share of ups-and-downs. Political and economic events surrounding the turn of the century (such as the European recession) are just some of the reasons for euro volatility. Factors influencing the euro-yen rate In the next two subsections, we're going to take a look at what major factors throughout both Europe and Japan affect the euro yen exchange rate. As with most regions, factors that can have knock-on effects are usually fairly broad and similar in nature. Japan, however, has some interesting key points that differ from the norm, which we'll explain in more detail. Role of EUR Like most modern currencies, the major factors which influence the movement of euro prices are mainly economic, political, and financial. Many of the ways in which the euro is affected will already be familiar to people who have a basic knowledge of how traders try to determine which way prices of currencies like the euro will move. For example, the monthly reports which are released by the European Central Bank (ECB) form the backbone of many traders' decisions regarding the euro. These reports can affect the fluctuation of euro rates – and keen investors and traders are quick to scour these details as soon as they are released in an effort to find out more about what direction the euro could be heading. Economically, news releases surrounding employment can play a huge part in the oscillation of euro rates. These figures are freely available and provide a valuable insight into the health of Europe's economy and the direction in which euro prices could go. Role of JPY The economy of Japan has a few more factors in play that can affect the rate of their currency. As always, the general health of the economy will play a massive part, with the high rate of import and export trading in Japan helping to boost or weigh on prices, depending on the state of the industry. One of the influencing factors that you're less likely to find in other countries is, surprisingly, the rate of natural disasters which occur in the region. Due to the small size of the country, events like natural disasters can affect the currency’s value immensely. The government of Japan often utilises economic initiatives in an effort to bolster the economy. As a result, many traders and investors pay extremely close attention to interest rates and government interventions from financial institutions such as the Bank of Japan (BOJ). Another regular factor that traders watch out for is the details within data reports such as the Tankan Report, the Tokyo Area CPI and the aforementioned interest rate decisions of the BOJ. These help to determine various financial paths that the yen may follow.
Long
by DaveBrascoFX
EURJPY - Long from bullish order block ✅Hello traders! ‼️ This is my perspective on EURJPY. Technical analysis: Here we are in a bullish market structure from daily perspective, so I am looking for longs. I expect price to continue the retracement to fill the imbalance lower and then to reject from 4H bullish order block + institutional big figure 148.000 Fundamental analysis: Next week we have news on EUR, will be released Interest Rate which is expected to increase, followed by ECB Press Conference. Increased interest rate means strength in currency which could support our analysis. Like, comment and subscribe to be in touch with my content!
Long
by Snick3rSD
10
EURJPY shorts on Global Macro expectations The reasons that back my case are simple. First of all, we need to take into consideration that Yen is a high risk off asset, with yen longs taking place whenever there is a big uncertainty in the world, or a black swan event unfolding. If you believe that a big crisis is yet about to be seen then you need to consider shorting EURJPY , I personally do for the reasons below. Yen Long Factors -New Governor UEDA taking head and within the next meeting of 28th of April along with market expectations Yen is expected to appreciate on expectations that the bank will widen the Yield curve band or even will take it off. Any positive tone on Interest rates will be considered at the meeting as well. -Sharp decreases in headline inflation such as the one from 6 down to 5% are signs of a big incoming crisis. Usually, when we run into recession, inflation is drastically moving to the downside, this drugs US Yields lower on expectations for more rate cuts taking place from FED this year. -U.S. NFIB Small Business Optimism showing a bleak picture. Even though this indicator is considered a 1-star indicator from calendar news, it is the omen of the US unemployment rates and Jobless claims climbing up while US NFP and Jolts data moving lower. So on the aggregate, it is the first sign before US Labor data start showing a very bad picture. EUR Short Factors -EUR Large Speculators are overbought on EUR across the board and this shows that if and when they are about to unfold their positions we are going to see a big short playing on EURO , it just needs a big catalyst to take place for them to follow through.
Short
by Investing_Bridge
18
EURJPY Trading Plan - 27/April/2023Hello Traders, Hope you all are doing good!! I expect EURJPY to go Down after finishing the correction. Look for your SELL setups. Please follow me and like if you agree or this idea helps you out in your trading plan. Disclaimer: This is just an idea. Please do your own analysis before opening a position. Always use SL & proper risk management. Market can evolve anytime, hence, always do your analysis and learn trade management before following any idea.
Short
by For3xScalper
1