ForexBrokersAZ.com

USD/JPY from 0 Pips

Compare Forex brokers and accounts with tight USD/JPY spreads. Find the best broker for your Japanese yen carry trades and "BoJ intervention" trades:

AvaTrade

MT4 Floating
More »
LCG

CFD Trading - MT4
More »
LCG

ECN Trading - MT4
More »
LQDFX

Islamic Account
More »
LQDFX

Gold Account
More »
LQDFX

ECN Account
More »
HotForex

Currenex Account
More »
FXCC

ECN Standard
More »
FXCC

ECN Advanced
More »
InstaForex

Eurica Account
More »
FXGiants

Micro Account
More »
FXGiants

Premium Account
More »
FXGiants

0 Pips on Majors
More »
FXOpen

ECN (MT4) Account
More »
FXPRIMUS

ECN Premier
More »
FxPro

cTrader
More »

Japan is an economic powerhouse and the world’s third largest economy behind the United States and China.

The Japanese yen is the third most actively traded currency and the USD/JPY is the second largest currency pair by trading volumes according to the 2010 BIS survey. The depth of its capital markets and the liquidity of its currency make it popular with investors seeking exposure to Asia.

Bank of Japan intervention

The Bank of Japan (BoJ) is an active participant in the foreign exchange markets. The central bank intervenes on a regular basis to correct what it considers to be excessive currency appreciation or depreciation. If you're trading the yen and hold positions overnight, you should be aware that the BoJ can intervene at any time and without notice. If you’re waiting on the sidelines, you’ll want to time your entry carefully as a BoJ intervention can trigger large price jumps.

Carry trades and the Japanese yen

The Bank of Japan has kept interest rates very low since the mid 1990s in an attempt to spur economic growth. The policy of low to nil interest rates has made the Japanese yen a popular choice for carry trades. You could borrow in Japanese yen and re-invest the proceeds into higher yielding currencies to capture the interest rate differential. Carry trades put downward pressure on the yen and go some way towards explaining exchange rate volatility as investors open and unwind positions.

Trading the USD/JPY

The USD/JPY enjoys strong liquidity and low bid ask spreads. Carry trades and BoJ intervention trades create opportunities for discerning traders. This makes the Japanese yen a strong currency for beginners and more experienced foreign exchange traders alike.

Compare USD/JPY spreads and leverage across popular Forex trading accounts with our interactive chart, or find an account that matches your experience and preferences with our broker search tool.

Latest news

USD/JPY Breaches a Big Zone of Support: Is the Trump Trade Done? Nasdaq

This raises the question: is the bullish trend in USD/JPY dead? Not quite yet - but if price action in USD/JPY poses a sustained break-below the confluent support zone around ¥110.00, then the prior bullish move would be nullified by a > 50% retracement. More »

USD/JPY: Another Day Another (Weaker) Dollar Action Forex

The dollar's relentless selling saw the USD/JPY finally break below key support around 111.55/75 at the start of this week. It has since held below this area, which suggests further technical follow-up selling could be on the way. The sell-off has ... More »

Morgan Stanley Wants You To Buy The USD/JPY FX Dip StreetInsider.com

Analyst Hans Redeker comments "The USDJPY cross currency basis has significantly narrowed over recent weeks, with the 3-month basis swap coming down to 22bp yesterday from 91bp in November. USD hedging costs out of JPY can be put into two ... More »

Related articles


Tell your friends about us:

Featured Brokers

#1 for Pros

1:300 leverage
$500 deposit
0.8 pips EURUSD

#1 Low Spreads

1:400 leverage
$100 deposit
1.8 pips EURUSD

#1 Islamic

1:400 leverage
$500 deposit
1.2 pips EURUSD

#1 for Beginners

1:500 leverage
$10 deposit
0.95 pips EURUSD


About Us  Privacy Policy  Terms of Use  Directory  Forex Affiliate Programmes  RSS Feed  

Trading foreign exchange, contracts for differences or spread bets on margin carries a high level of risk and may not be suitable for all investors. You could sustain a loss of some or all of your funds if the markets move against you. For this reason, you should not invest more than you could afford to lose. ForexBrokersAZ.com does not accept deposits, advise on investments, deal in investments (as agent or principal) or arrange deals in investments. Information published on this website and in our external communications is factual and for information purposes only. It does not constitute financial advice under the Financial Services and Markets Act 2000.

Webmasters, Make Money with our Affiliate Program »