FOREX · USDJPY · MARKET GUIDE
US Dollar / Japanese Yen
A yen-quoted pair: pip size of 0.01, P&L in yen, and why a conversion rate is required for non-JPY accounts.
Written by fxRuleBook Editorial TeamReviewed by: awaiting named reviewerLast updated
Overview
USDJPY shows how many yen one dollar buys. It reflects interest-rate differences between the US and Japan.
Because the quote currency is JPY, P&L is in yen. A USD account needs the current USD/JPY rate to convert it — fxRuleBook never assumes 1:1.
| Item | Typical convention |
|---|---|
| Standard lot | 100,000 USD |
| Pip | 0.01 |
| Fractional pip (tick) | 0.001 |
| P&L currency | JPY (quote currency) before conversion |
ILLUSTRATIVE POSITION-SIZING EXAMPLE
Sizing a USDJPY trade from the stop
| Account / risk | $10,000 at 1% = $100.00 |
|---|---|
| Hypothetical entry → stop | 150 → 149.5 (distance 0.500) |
| Ticks / pips | 500 ticks · 50.0 pips |
| Loss per lot at stop | $333.33 |
| Position size (rounded down) | 0.3 lots |
| Risk after rounding | $100.00 |
Hypothetical round prices; 50-pip stop; JPY converted at a hypothetical 1/150.
Risk-management considerations
- Official intervention risk can produce sharp moves.
- P&L must be converted from yen.
USDJPY journal template
Record these alongside each USDJPY trade.
- 01Conversion rate used
- 02Pip distance to stop
- 03BoJ/Fed events
Frequently asked questions
Why is the pip 0.01?
Yen pairs are quoted with fewer decimals, so a pip is 0.01.
Why do I need a conversion rate?
Tick value is in yen. To see risk in your account currency you must provide a rate.
Educational content only. No live prices, historical data, signals or forecasts are shown. Contract details are illustrative until verified with your broker.