When getting started with a forex trading platform, it is important to pay attention to forex trading resources that serve as economic indicators. With these FX trading factors, the best investors will be able to predict the market shifts and turn a profit with their forex broker. These are the economic indicators for Japan and the Yen.

Quarterly Tankan Survey of Business Sentiment

This is a quarterly poll of business confidence that is compiled by the Bank of Japan. The report shows the status of the Japanese economy and is considered to be one of the key financial measures for the country. A forex broker or trader who is invested in Japanese currency might want to keep track of these reports and their findings.

Manufacturing and non-manufacturing sectors of the economy and capital expenditure are taken into account. The report also gives an outlook for future business expectations and economic trends.

The Tankan survey generally has a considerable amount of influence on both stock prices and currency rates. The market has been known to react directly to its release, which always occurs on the first Monday following the reporting period.

Japanese Trade Balance

Trade balance is a strong economic indicator for many countries. In Japan, the economy is led highly by exports, and trade data gives critical insights into the market’s development and into future changes to foreign exchange rates. The changes will be of particular interest to those involved with FX trading.

Japan’s monthly Trade Balance report is released by the Customs Office of the Ministry of Finance and has a significant effect on markets. Because Japan’s economy is so export oriented and because it has historically experienced such large trade surpluses, changes will have dramatic consequences for the domestic economy.

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