Have you ever thought about trading the Euro-Yen pair? If the answer is yes, then the first thing you have to do is to familiarize yourself with EUR JPY live chart. This simple chart reflects the changes in prices of those two currencies for any given length of time. By using this chart, you can analyze the market patterns and ensure that you make informed trading decisions. However, before you start trading, you need to gain a thorough understanding of the Japanese and European market. This knowledge is invaluable for people who need to make trading decisions.
Keep on reading, if you want to find out more about the EUR JPY live chart, how it is influenced by the financial situation in Japan and Europe, and how you can use an online broker like FBS to make a profit using EUR JPY currency pair.
The State of Economy after the Pandemic
Both the European and Japanese market have been greatly impacted by the COVID-19 pandemic and the need for constant lockdowns. Both regions have experienced a significant economic downturn during the year 2020 that was later followed by a rebound in 2021. However, after 2021, their paths have diverged so let’s find out what this has happened:
- Unlike Japan, Europe was able to quickly immunize a significant portion of its population, which allowed them to quickly lift their lockdown restrictions.
- Europe has implemented a very sizable fiscal stimulus plan, which promoted the transition to a green economy and encouraged public investment. Even though Japanese policy makers have also implemented several fiscal policies, it hasn’t had the same success as in Europe.
- Overall, Europe’s economy is more resilient because its exports are more diversified, unlike Japanese exports that are mainly focused on electronics and automotive industry.
Despite these differences, there are also certain things that European and Japanese markets have in common, including constrained supply and increased demand have caused the prices to rise. Additionally, the political tensions have increased due to US-China rivalry. Finally, both Europe and Japan struggle with their aging populations, which exacerbates the slowing down of productivity growth and increase of the public debt.
How to Use Trading Signal from the EUR JPY Live Chart
The EUR JPY live chart can provide you with a wealth of knowledge and allow you to spot trade signals. Here are some of the ways that this chart can be used:
- Use candlestick patterns to spot market trends. For instance, a bearish engulfing pattern signifies that the trend is likely to go downward.
- Identify channels, trend lines, as well as support and resistance levels by using the drawing tools.
Aside from the above mentioned techniques, you should also learn to use technical indicators to measure the market’s volatility, momentum, and trend strength.
Spot Trading Opportunities
With the help of EUR JPY live chart, you’ll be able to trade this currency pair with ease. Once you become familiar with it and learn the state of the European and Japanese economies, you’ll be able to make informed predictions about the future price of Euro and Yen. FBS is a reputable online broker that will help you on each step of the way and offer you low spreads and high leverage on this trading pair.
