02 Jan TRADING EDUCATION: EUR JPY
The EURJPY is known colloquially within forex trading as the ‘Euppy’ (pronounced Yuppy).
The schedules for many EURJPY traders roughly follow exchange hours, centring their activity between the London and New York Stock Market times. Due to the time differential between the EUR (Frankfurt) and the JPY (Tokyo), Japanese and Euro Zone, data releases can cause significant spikes in trading volume with the EURJPY as for the most part when data is released only one half of the pair is being actively traded.
In terms of forex patterns and our in-house EURJPY forecast because both currencies within the EURJPY are reserve currencies and the JPY is a traditionally a low-yielding currency, it is often used as a mechanism to carry trades (where traders borrow cheaply in JPY to buy higher-yielding currencies).
As a result, the EURJPY tends to see meaningful volume increases to the Short/Long side during clear economic trends with the direction of the pair often reflecting market sentiment regarding world economic data. This makes EURJPY very sensitive to swings in broad-based market sentiment trends.
CURRENCY PAIR CORRELATIONS: EUR JPY
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Primary Trading Times For The EUR JPY
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Major Economic News Events affecting the EUR JPY
CENTRAL BANK DATA
ECB – Interest Rate Decision
ECB – Monthly Inflation Report
BoJ – Monetary Policy stimuli
ECB – Monetary Policy stimuli
BoJ – Interest Rate Decision
ECB – President Appearing before the EU Parliamentary Committee on Economic and Monetary Affairs
Employment Numbers
German – Unemployment Rate
German – Employment Change Data
Japanese – Average Earnings Growth
Japanise – Employment Change Data
Euro Zone – Unemployment Rate
Japanise – Unemployment Rate
Consumer Spending & Inflation
Retail Sales Growth
German – Retail Sales Growth
German – CPI and Core CPI Inflation
IFO Business Climate Index
Euro Zone – CPI and Core CPI Inflation
German – Factory Orders
Japanise – Retail Sales Growth
Japanise – National CPI & Core CPI Inflation
Economic Sentiment & GDP
European Sentix Investor Confidence Index
Market Manufacturing and services PMI
German – GDP Growth
Euro Zone Industrial Production Growth
German ZEW Economic Sentiment
Japanise – Industrial Production Growth
Euro Zone – GDP Growth
Japanise – Balance of Trade
German – Euro Zone Industrial Production Growth
Japanise -Tertiary Industry Activity Index
PRIMARY IMPORT EXPORT SECTORS: EUR JPY
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