FFAJ Reports Japanese Retail Trading Volumes Dropped to $3 Trillion in June

The Financial Futures Association of Japan (FFAJ) has reported its Retail Trading Retail Trading In finance, retail trading refers to individual traders, trading through a broker, or on a platform. This can include novice traders and experienced traders. Trading and investing are divided into two categories, retail and institutional. Institutions include investment banks like JP Morgan or Citibank and global central banks like the US Federal Reserve and the European Central Bank. When we talk about retail trading however, we usually are referring to forex trading, but there are retail trade In finance, retail trading refers to individual traders, trading through a broker, or on a platform. This can include novice traders and experienced traders. Trading and investing are divided into two categories, retail and institutional. Institutions include investment banks like JP Morgan or Citibank and global central banks like the US Federal Reserve and the European Central Bank. When we talk about retail trading however, we usually are referring to forex trading, but there are retail trade Read this Term volumes for the month of June. The figures show a decline of 2.4 percent month-on-month. The over-the-counter (OTC) FX Margin Trading report, published monthly, concerns the total number of retail FX trading volumes in the Japanese industry.

The study encompasses data from 54 licensed retail FX brokers that are operating in Japan. With the exception of February, which saw a huge monthly increase in trading volumes, this year has been mainly negative, showing a declining to flat trend in trading volumes.

The London Summit 2017 is coming, get involved!

[gptAdvertisement]

The volume of open positions has also shown a slight decrease, which could be in line with the global trend of low Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term, especially in dollar related pairs as all the attention has been focused on the pound and the euro over the last few months.

The ensuing low volatility across the industry has hit Japan particularly hard, as the most active pair for traders has been confined within a trading range. Usually ranging markets present lesser opportunities for traders and hence deliver lower trading volumes.

The UK elections and the possibility of QE tapering from the ECB have ensured that some of the focus is set onto the European region, as far as volatility is concerned.

What should encourage traders and brokers alike is the fact that the trading volume is now near all-time lows. Periods of low volatility are typically followed by periods of high volatility. Potential triggers include ongoing uncertainty from the Trump administration's legislative push in Congress and the upcoming unwind of the Federal Reserve's balance sheet.