8 Best Forex Brokers for Trading EUR/JPY

A forex broker is a financial services company that provides traders access to platforms for buying and selling currencies, acting as intermediaries between retail traders and the global currency market. Forex brokers allow both individuals and businesses to trade currencies electronically.

The EUR/JPY pair represents the exchange rate between the euro and the Japanese yen. Known for its liquidity and price swings, the EUR/JPY pair is popular among traders who seek to capitalize on movements driven by economic events, interest rate policies from the European Central Bank (ECB) and the Bank of Japan (BOJ), and global market sentiment. Trading the EUR/JPY pair allows investors to speculate on the relative strength of the euro against the Japanese yen. The EUR/JPY pair can be traded through spot forex transactions, CFDs (Contracts for Difference), and futures contracts. Many forex brokers provide access to trade the EUR/JPY pair on their platforms, often offering tight spreads and advanced trading tools.

With numerous online forex brokers available, finding the right one for EUR/JPY trading can be challenging. In this article, we’ve compiled a list of the best forex brokers for trading the EUR/JPY pair. Our goal is to assist you in finding trustworthy partners that align with your trading objectives while ensuring a smooth and efficient trading experience.

A List of Top 8 Forex Brokers for EUR/JPY Trading

• Pepperstone: Best Overall Forex Broker
• IC Markets: Best for for Tight Spread
• ActivTrades: Best for EU and UK Traders 
• Etoro: Best For Social Copy Trading 
• BlackBull Markets: Best Broker For Free TradingView
• Exness: Best for Instant Deposit and Withdrawal
• XM: Best for Deposit Bonus
• Eightcap: Best for Smart Trading Tools
• Avatrade: Best for Automated Trading
• FBS: Best For High Leverage (as high as 1:3000) 

Best Forex Brokers for EUR/JPY Trading ( Compared and Reviewed)

Can I trust these online brokers for EUR/JPY Trading?

Yes, you can trust these brokers. Brokersway recommends brokers based on facts and findings. We evaluate brokers based on 170 data points grouped into 6 macro categories including regulations and security, fees, Trading experience, trading tools, customer support, and trading education. Multiple regulatory authorities regulate these brokers. So they are legit and trusted. Here are the regulations of these brokers

• Pepperstone: Regulated by 7 regulatory authorities including FCA, ASIC, CySEC, BaFin, DFSA, CMA, and SCB
• IC Markets: Regulated by 3 Regulatory Authorities including FCA, CySEC, and ASIC
• ActivTrades: Regulated by 5 Regulatory Authorities including SCB, FCA, CMVM, BACEN, and CVM
• eToro: Regulated by 7 Regulatory Authorities including SEC, FINRA, FCA, CySEC, FSA-S, SIPC, ADGM
• BlackBull: Regulated by 2 Regulatory Authorities including FMA, FSA-S
• Exness: Regulated by 8 Regulatory Authorities including CySEC, FCA, CMA, FSCA,  FSA in Seychelles, CBCS, FSC (Mauritius), and FSC (BVI)
• XM: Regulated by 5 Regulatory Authorities including ASIC, CySEC, DFSA, FSCA, and FSC in Belize (Global)
• Eighcap: Regulated by 5 Regulatory Authorities including ASIC, FCA, CySEC, SCB, and FSASVG
• AvaTrade: Regulated by 9 Regulatory Authorities including ASIC, JFSA, FSA, FSCA, ADGM, CBI, ISA, KNF, IIROC
• FBS: Regulated by 3 Regulatory Authorities including Cysec, ASIC, FSC-Belize

How Did We Choose the Best Forex Brokers for Trading EUR/JPY?

To choose the best brokers for EUR/JPY trading, we follow the procedures below.

Research

To find the best forex brokers for EUR/JPY trading, we conducted extensive research, focusing on the features, services, and regulations associated with each broker. We analyzed market trends, broker offerings, and user feedback to understand what traders value most. This comprehensive approach allowed us to build a solid foundation for our evaluations.

Data Collection

We gathered data from various reliable sources, including official regulatory bodies, broker websites, and reputable financial news platforms. This data encompassed key metrics such as trading fees, available assets, leverage options, and client support services. Additionally, we considered user reviews and testimonials to gauge trader satisfaction and experiences.

Verification

After collecting data, we verified the information to ensure accuracy and reliability. This step involved cross-referencing details from multiple sources, including regulatory websites and independent reviews. By ensuring that our data is accurate, we aim to present an honest assessment of each broker’s strengths and weaknesses.

Live Testing

We conducted live testing of the shortlisted brokers to provide a real-world perspective. This involved opening demo accounts and executing trades to evaluate the trading platforms, order execution speed, and customer service responsiveness. Our live testing process allowed us to assess each broker’s performance under actual market conditions, providing valuable insights into their functionality.

Scoring

Finally, we scored each broker based on a set of criteria, including regulatory compliance, trading costs, platform usability, available trading instruments, customer support, and overall user experience. Each category was assigned a specific weight, reflecting its importance in the trading process. The scores helped us rank the brokers, ensuring that our recommendations align with the needs and preferences of traders who want to trade EUR/JPY or other Major currency pairs. 

What is a Forex broker?

A forex broker provides a platform for trading in the global foreign exchange market, allowing traders to buy, sell, and analyze currency pairs. Acting as intermediaries, forex brokers connect traders to liquidity pools, giving them access to continuous currency trading during the week. By offering robust trading platforms, brokers simplify the forex trading experience for retail and institutional traders.

In addition to currency trading, many forex brokers offer CFDs on a variety of financial assets, such as commodities, indices, stocks, and cryptocurrencies. CFDs let traders benefit from price changes without purchasing the assets directly. Brokers often extend leverage to traders, which can expand trading potential but also heighten risk. They may also provide educational tools, analytical resources, and market updates to assist traders in making strategic trading decisions.

What is EUR/JPY ?

The EUR/JPY currency pair represents the exchange rate between the euro (EUR) and the Japanese yen (JPY). It is influenced by economic developments in both the Eurozone and Japan, with the pair often reflecting the relative strength of these two economies. Key factors affecting EUR/JPY include interest rate decisions by the European Central Bank (ECB) and the Bank of Japan (BoJ), economic data releases such as GDP, inflation, and trade balances, as well as geopolitical events in Europe and Asia. EUR/JPY is also sensitive to global risk sentiment, as the euro tends to be more aligned with higher-risk assets, while the yen is considered a safe haven during times of market uncertainty.

EUR/JPY is widely available for trading through forex brokers as a spot pair or via Contracts for Difference (CFDs), allowing traders to capitalize on price movements driven by monetary policy, economic releases, and market sentiment. The pair is known for its liquidity, making it a popular choice for both short-term traders and those looking for long-term positions. Volatility can increase during periods of major ECB or BoJ announcements, as well as in response to economic data or political developments in the Eurozone or Japan. For traders, EUR/JPY offers opportunities to profit from the economic dynamics of both regions, with the added complexity of shifting risk sentiment and global market factors.

How to Trade EUR/JPY Forex Online

To trade EUR/JPY, you need to have a solid understanding of the EUR/JPY pair. This currency pair represents the exchange rate between the euro and the Japanese yen, and it is known for its liquidity and volatility, influenced by economic events in both the Eurozone and Japan. Price movements are often affected by the European Central Bank (ECB) and the Bank of Japan’s (BOJ) monetary policies, interest rate decisions, and economic data from both regions. Next, develop your skills in market analysis and create a trading strategy that will help you generate effective trading signals. Start EUR/JPY trading by practicing and refining your strategies on a demo account to gain confidence without risking real money. Once you’re ready, you can follow this step-by-step guide to start live EUR/JPY trading:

Step 1: Choose a forex broker and open a trading account.
Step 2: Verify your account, fund it, and download the trading platform if required.
Step 3: Select the EUR/JPY pair and create a new order.
Step 4: Set your trade parameters, including trade volume, stop loss, and take profit levels.
Step 5: Place your order by clicking ‘buy’ or ‘sell.’
Step 6: Monitor your trade and close it when you achieve your target. This completes the EUR/JPY trade.

What Affects the Price of EUR/JPY Pair

The EUR/JPY exchange rate is shaped by central bank policies, economic indicators, and global financial sentiment. Given the economic divergence between the Eurozone and Japan, unique factors drive currency strength for both the euro and the yen. Here are the primary factors influencing EUR/JPY movements:

1. European Central Bank (ECB) Monetary Policy

The European Central Bank’s (ECB) monetary policy is a primary driver of the euro’s value in the EUR/JPY pair. When the ECB raises interest rates to combat inflation or encourage economic growth, the euro generally appreciates, potentially increasing the EUR/JPY rate. Conversely, a dovish stance with rate cuts or quantitative easing weakens the euro. Traders closely watch ECB policy statements and guidance on inflation and growth to anticipate policy changes that impact EUR/JPY.

2. Bank of Japan (BoJ) Monetary Policy

The Bank of Japan (BoJ) frequently maintains an ultra-low interest rate environment to stimulate Japan’s economy, making its policy highly influential for the yen. The BoJ’s ongoing commitment to low rates and monetary easing can weaken the yen, often supporting a higher EUR/JPY rate. However, any indication of a more hawkish shift, such as reducing asset purchases or hinting at future rate hikes, could strengthen the yen and drive the EUR/JPY rate lower. BoJ policy meetings, economic projections, and inflation targets provide critical insight for traders positioning within EUR/JPY.

3. Inflation Rates in the Eurozone and Japan

Inflation rates in the Eurozone and Japan influence EUR/JPY as they directly affect central bank policies. High inflation in the Eurozone may prompt the ECB to raise rates, strengthening the euro, while Japan’s typically low inflation contributes to the BoJ’s low-rate stance, often weakening the yen. Conversely, signs of inflation in Japan could lead to policy shifts by the BoJ, potentially strengthening the yen. CPI data from both regions is essential for forecasting likely moves in the EUR/JPY exchange rate.

4. Economic Growth Indicators

Economic growth in both the Eurozone and Japan, reflected in GDP reports and industrial production, impacts EUR/JPY by indicating the relative strength of each economy. Strong GDP growth in the Eurozone typically supports the euro, potentially driving EUR/JPY higher, while growth in Japan strengthens the yen, which may decrease the rate. GDP figures, manufacturing output, and economic forecasts from both economies provide key data for traders to evaluate the relative performance of the euro and the yen.

5. Safe-Haven Demand and Market Sentiment

The yen is widely regarded as a safe-haven currency, attracting investors during periods of economic uncertainty or market volatility. When global risk sentiment deteriorates, such as during geopolitical conflicts or financial crises, demand for the yen tends to increase, which can drive EUR/JPY lower. Conversely, in times of economic stability, reduced safe-haven demand can weaken the yen, supporting the EUR/JPY rate. Risk sentiment and investor appetite for safe assets are thus critical factors influencing EUR/JPY movements.

6. Trade and Current Account Balances

Trade balances and current account data from the Eurozone and Japan provide insights into each region’s economic health and trade competitiveness, impacting EUR/JPY. Japan’s trade surplus often supports the yen, while the Eurozone’s trade performance affects the euro’s value. A strong Japanese trade balance, for instance, can strengthen the yen against the euro. Monthly trade and current account releases help traders assess supply and demand pressures for both currencies in the EUR/JPY pair.

7. Energy Prices and Import Costs

Japan is a major importer of energy, and fluctuations in energy prices, particularly oil, significantly impact the Japanese economy and the yen. Rising oil prices can increase Japan’s import costs, pressuring the yen, which may lift EUR/JPY. Conversely, lower energy prices reduce Japan’s import expenses, often supporting the yen and potentially driving EUR/JPY lower. Since the Eurozone is less affected by energy imports, changes in oil prices disproportionately impact the yen’s value within the EUR/JPY pair.

8. Geopolitical Events and Regional Stability

Geopolitical stability in Europe and Asia affects investor sentiment and, consequently, the EUR/JPY rate. For instance, European political events, such as elections or regulatory changes, can impact the euro, while regional tensions in Asia often drive safe-haven demand for the yen. Global geopolitical events that affect market stability, such as trade tensions or diplomatic conflicts, influence the EUR/JPY pair by altering risk perception and demand for both currencies.

These factors collectively influence the EUR/JPY exchange rate, with each element contributing to market sentiment and currency strength based on economic conditions, policy direction, and geopolitical stability in the Eurozone and Japan.

Final Verdict:

If you are a trader looking to trade the EUR/JPY currency pair, choosing a broker with competitive spreads, reliable execution, and robust regulatory oversight is crucial. We have thoroughly reviewed and compared the top forex brokers offering EUR/JPY, focusing on those that are licensed, highly rated, and globally trusted. Our evaluation considered regulation and security, fees and commissions, trading conditions, trading tools, customer support, and educational resources. Based on our analysis, the following brokers are the best for trading EUR/JPY:

• Pepperstone: Best overall for EUR/JPY, offering tight spreads, fast order execution, and regulation by top-tier authorities such as ASIC and FCA.
• IC Markets: Renowned for its razor-thin spreads, making it an excellent choice for cost-conscious EUR/JPY traders.
• ActivTrades: FCA-regulated and widely trusted among EU/UK traders, offering reliable trading conditions for EUR/JPY.
• Etoro: Perfect for social copy trading, allowing EUR/JPY traders to replicate strategies from successful investors.
• BlackBull Markets: Offers free access to TradingView, empowering EUR/JPY traders with advanced technical analysis tools.
• Exness: Known for its instant deposits and withdrawals, providing seamless transactions for EUR/JPY traders, though it does not cater to EU clients.
• XM: Popular for its deposit bonus, making it an attractive choice for traders aiming to increase their trading capital for EUR/JPY.
• Eightcap: Provides smart trading tools and advanced plugins, enhancing the EUR/JPY trading experience.
• Avatrade: Best for automated trading, supporting algorithmic strategies for EUR/JPY markets.
• FBS: High leverage of up to 1:3000, ideal for experienced traders seeking increased exposure in EUR/JPY trading.

These brokers offer excellent trading conditions for EUR/JPY, including competitive spreads, reliable platforms, and robust trading tools. Select the broker that aligns with your trading goals and preferences to start trading EUR/JPY confidently.