Euro and Japanese Yen Crossover

Besides the US dollar, the euro and Japanese yen are the most frequently traded currencies. Meanwhile, like the US dollar, some countries also hold euros and yen as theirforeign exchangeReserve. So, the cross currency pair of the Japanese yen and the Japanese yen has become the most liquid currency pair outside of the US dollar's direct trading.

Trading Euro Currency Pairs

The most common cross currency pair for the euro is the euro/Japanese yen, Euro/GBP and EUR/Swiss franc.

The impact of news on the euro or Swiss franc crossing is greater than that of the euro/USD or USD/The influence of the Swiss franc is much greater.

News from the UK will also have an impact on the euro/The pound has had a significant impact.

Strangely, news from the United States will also have a significant impact on the trend of the euro crossing. The news from the United States will have an impact on the pound/USD and USD/The Swiss franc has had a strong impact. This will not only affect the exchange rates of the pound and Swiss franc against the US dollar, but may also affect the exchange rates of the pound and Swiss franc against the euro.

The strengthening of the US dollar may prompt the euro/Swiss franc and euro/The strengthening of the pound and the weakening of the dollar may also promote the euro/Swiss franc and euro/The weakening of the pound.

Confused? Okay, let's talk about it separately.

For example, the positive economic data released by the United States has led to a strengthening of the US dollar. This means pounds/The US dollar will decline, thereby suppressing the decline of the pound. Meanwhile, the US dollar/The Swiss franc will rise, which will also suppress its decline.

The decline in the exchange rate of the pound will lead to the euro/The rise in pounds is due to traders selling pounds.

The decline of the Swiss franc will also lead to the euro/The rise of the Swiss franc is due to traders selling the franc.

On the contrary, if the economic data released by the United States performs negatively, it may cause the corresponding currency pair to fluctuate in the opposite direction.

Trading yen cross

The Japanese yen is also one of the most popular currencies for traders, and it can be traded with almost all major currencies.

by2010year2Month, Euro/The trading volume of the Japanese yen reached its highest level in the yen cross market.

pound/Japanese yen, Australian dollar/JPY, NZD/The Japanese yen is also an attractive carry trade currency, as the interest rate difference between these currencies and the Japanese yen is the largest.

When conducting yen cross trading, you should always be sensitive to the US dollar/The yen remains focused. When USD/When the yen breaks through key price points, the yen crossing will also be significantly affected.

For example, if the US dollar/If the yen breaks through a key resistance level, it means that traders are selling the yen. This may prompt them to also sell yen against other currencies at the same time. Therefore, you should expect the euro/JPY, GBP/The Japanese yen and other yen cross currency pairs also fell.

Cad /Japanese yen

In recent years, Canadian dollars/The Japanese yen has become a very popular cross currency pair, and its correlation with oil prices is also very high.

Canada has the second largest oil reserves in the world, and the country has also benefited greatly from the rise in oil prices.

On the other hand, Japan heavily relies on oil imports. In fact, Japan99%ofcrude oilThey are all imported because the country has almost no natural oil reserves.

The above two factors have led to oil prices and Canadian dollars/The positive correlation between Japanese yen reaches87%。