An exceptionally high level of volatility makes this currency pair a desirable scalping solution. To successfully trade this asset, be especially cautious because this asset is one of the most unpredictable in the foreign exchange market.
As for the critical downsides of this asset, we should point to its high spread. On the other hand, it’s not a problem and can be compensated by its high volatility. Moreover, this asset is also classified as a cross pair. The given asset shows the value of the South African currency expressed in Japanese yen. You can trade this asset round the clock. Perhaps, you’ll achieve the best results in the Asian trading session.
An exceptionally high level of volatility makes this currency pair a desirable scalping solution. To successfully trade this asset, be especially cautious because this asset is one of the most unpredictable in the foreign exchange market.
As for the critical downsides of this asset, we should point to its high spread. On the other hand, it’s not a problem and can be compensated by its high volatility. Moreover, this asset is also classified as a cross pair. The given asset shows the value of the South African currency expressed in Japanese yen. You can trade this asset round the clock. Perhaps, you’ll achieve the best results in the Asian trading session.
The Japanese economy turns out to be one of the most highly developed in the world. This nation serves as a significant supplier of top-notch tech products to foreign markets. Japan doesn’t mine its raw materials, and it makes it very reliant on their prices. So, they costlier raw materials, the worse for JPY it is. Moreover, the soaring cost of metals, crude, as well as other resources, can also have a massive impact on the Japanese economy.
South Africa happens to be a regional power. Its economic potential is many times inferior to the Japanese one. In South Africa, the services sector occupies nearly 67.4% of GDP. As for the industry, it holds 30.3%. This African country boasts a highly developed mining, manufacturing as well as the chemical sector. As for agriculture, this country occupies only 2.4% of GDP. The country’s agriculture specializes in animal husbandry and crop production.
The country is considered to be a key supplier of raw materials, in particular, copper, platinum, and iron ore. China, Japan, and the United States appear to be the major trade partners of this African country. To successfully trade this asset, you require determining the key factors that influence the quotes of this currency pair.
Unlike South Africa, Japan boasts a more diverse economy. What unites these countries is their high dependence on prices in commodity markets. However, there’s one crucial difference. Japan can’t benefit from costly raw resources, while it’s suitable for South Africa. Being aware of it, you can make good money on this currency pair.
The interest rates of both countries have an impact on the quotes of this currency pair. You should keep an eye open on decisions made by their key financial institutions.
The publication of information on changes in interest rates provokes typically stronger volatility. Besides this, you should closely watch macroeconomic indicators of both nations.
You require paying attention to the unemployment rate as well as other crucial parameters. As for this African country’s domestic market, it’s relatively small. Japan happens to be export-oriented too, but its local market is much bigger than the South African one.
Traditional trading approaches are worthless when dealing with the currency pair ZAR/JPY. Stay away from using standard strategies because they may appear to be useless too. To succeed in trading this asset, take into account the crucial peculiarities of the countries mentioned above. If you a newbie, stay away from this asset. Only experienced investors with rich trading experience can benefit from this currency pair.