Brokers With the Highest Volume for USD/JPY
Trading volume is one way to evaluate stocks when deciding whether to buy or sell. Paying attention to the trading volume also plays a big role for those who want to trade in high volume. Nowadays, more and more traders are interested in trading in high volume. The reason is that it minimizes volatility, reduces liquidity risk, and usually has a lower spread.
Trading in high volume can be done in some currency pairs such as USD/JPY. But which broker offers the highest volume to trade this pair with? This is a list of brokers with the highest volume for USD/JPY that you can use as a reference.
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How to trade with gold and Yen's correlation?
It actually depends on how traders apply their trading strategy to both instruments. Say you use Moving Averages and divergence strategy, here's what it would look like:
We can see how a hidden bullish divergence first appeared on Gold, which was later reflected in USD/JPY's hidden bearish divergence. This signifies that Gold's rally is complemented by Yen's rally, thus concluding to USD/JPY heading lower.
We can also compare the candlestick patterns on both charts. Although quite subjective, patterns such as engulfing or inside bars are considered reliable across different assets analyses.
Continue Reading at The Curious Case of Gold and Yen's Correlation
How does trading volume affect floating leverage?
Floating leverage can change under certain conditions, one of which is based on the trading volume. Volume-based floating leverage typically decreases along with the increase in trading volume.
Say you initially trade with 1:200 leverage. When your trading volume amounts to more than $3 million, the leverage would be automatically changed to 1:100. The adjustment can apply to the next level of volume increase, depending on how your broker sets the rule. It is important to note that the change of margin requirement that is brought by the new leverage would only apply to positions opened after the adjustment So, you don't have to worry about increased margin in your previous trades.
Continue Reading at What is Floating Leverage in Forex Trading?
Why is gold correlated to Yen?
In actuality, there is no definite answer despite the fact that Gold and yen are both considered safe havens.
Long-term research by Goldmoney in 2017 repeatedly demonstrated that Gold is primarily influenced by three factors: real-interest rate expectations, longer-term energy costs, and central bank policies. JPY will only move following the real interest rate differential if no other forces are in action, and Gold will do the same. As long as the other factors influencing Gold prices remain consistent, Gold trades perfectly in line with actual interest-rate expectations.
Continue Reading at The Curious Case of Gold and Yen's Correlation
How are cent account trading volumes compared to the standard one?
With a cent account, you have access to a minimum trading volume of 0.01 lots which is equivalent to 0.0001 lots or $10. For a standard account, this minimum trading volume of 0.01 lots would be equivalent to $1000.
- Cent Account:
- Minimum trading volume: 0.01 lots
- Value per lot: $0.0001 (or equivalent to 0.01 lots)
- Therefore, the minimum trading volume value in dollars: 0.01 lots * $0.0001/lot = $0.0001
- Standard Account:
- Minimum trading volume: 0.01 lots
- Value per lot: $100 (or equivalent to 0.01 lots)
- Therefore, the minimum trading volume value in dollars: 0.01 lots * $100/lot = $1
Continue Reading at How Does a Cent Account Work?