WHAT IS USD?
USD is the official currency of the US.The full form of USD is the united state dollar.
Where, ‘U’ stand for united ,’S’ stand for state,’D’ stand for dollar.
USD is the currency code of US. It is the first traded currency in the forex market.
WHAT IS JPY?
JPY is the currency official or the currency symbol for the japanese yen (jpy) .
The yen is made up of 100 sen or 1000 in and it often present with the symbol ¥.
The government of japan generally introduce the yen to modernize the country economically
And in may 1971 it become the official currency of japan. The japanese yen is also widely used as a reserve currency after the USD OR EUR.
It is the third most traded currency in forex market.
WHAT IS USD JPY?
USD JPY both the currency pair used to denote the currency exchange rate in USD and JPY.
USD JPY This currency pair shows how many japanese yen is required to purchase the US dollar.
For example: if the pair is trading at 200 it means that one US dollar can be exchanged for 200 yen.
Watch : USD JPY Live Chart
WHY IS USD JPY IMPORTANT?
Many of us want to know the importance of USD JPY pairs to trade in forex profitably.
So as pre my point of view trade in USD JPY is important because both the pairs have correlation with each other and it is with the US treasuries.
Because of treasuries when interest rate is higher than treasury bond price go down which leads the US dollar stronger than JPYprices.
So thats why the USD JPY pair is important to trade in FX market.
Watch : USDJPY Live Chart
WHAT AFFECT THE USD JPY?
As we know there are certain factors that influence forex prices like economic factors, political condition and market condition.
But the USD JPY fluctuates according to the interest rate set by the federal reserve and bank of japan.it is more clear to you from the given example.
For example:if any changes by the Fed in the market with the aim to strong it leads to rise in the value of the USD JPY or vice versa.
WHY IS USD JPY CALLED GOPHER?
As we now USD JPY currency pair consisting of the US dollar and japanese yen.
This pair is also called as “the yen’’ or “the gopher’’. The USD JPY is one of the seven currency pairs that contain USD.
It is the second most traded currency pair in the forex market and it is more liquid as compared to others.the best time to trade USD JPY is between 10pm. And 8 am,GMT.
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