Zornitsa Stefanova
Zornitsa Stefanova is a Financial Research and Platform Testing Analyst at BestBrokers.com, specialising in hands-on reviews of forex, cryptocurrency and stock trading platforms. She evaluates brokerage companies from a user-focused perspective, testing key areas such as account setup, trading conditions, platform usability, available markets and overall reliability.
| Expert Editor 
Eugene Lee, CFA
Eugene Lee, CFA, is the Head of Research at BestBrokers.com, where he draws on more than two decades of experience in global markets, portfolio management, derivatives, and fintech to evaluate online brokers. His background in institutional investing and quantitative research helps ensure that broker reviews are based on data, risk assessment, and real-world trading conditions. 
| Updated: In forex trading, certain currency pairs attract significant trading volume because of their high liquidity. One such pair is USD/JPY, which indicates the amount of Japanese yen (the quoted currency) needed to purchase one US dollar (the base currency). As one of the most traded forex pairs, USD/JPY is widely available from regulated brokers, often with higher leverage ratios and tighter spreads. This article features regulated brokers suited to trading the USD/JPY pair.
Plus500 USThis content applies only to Plus500 US and clients from the United States. Trading futures involves the risk of loss.
eToro52% of retail investor accounts lose money
Fusion Markets74-89% of retail's CFD accounts lose money
FP Markets73.33% of retail investor accounts lose money
BlackBull MarketsTrading leveraged products is risky
Pepperstone73.7% of retail investor accounts lose money
FxPro74% of retail investor accounts lose money
VantageTrading leveraged products is risky
XM Group72.82% of retail investor accounts lose money
AvaTrade57% of retail investor accounts lose moneyTop 10 USD/JPY Brokers Ranked by Trustpilot Score
| Forex Broker | Trustpilot Reviews | |
|---|---|---|
| 1. FP Markets | 9,422 | 4.9 ⭐ |
| 2. Fusion Markets | 4,873 | 4.8 ⭐ |
| 3. IC Markets | 48,248 | 4.8 ⭐ |
| 4. AvaTrade | 11,076 | 4.7 ⭐ |
| 5. FXCM | 756 | 4.5 ⭐ |
| 6. Vantage | 10,604 | 4.5 ⭐ |
| 7. Admirals | 2,046 | 3.8 ⭐ |
| 8. Markets.com | 1,236 | 3.8 ⭐ |
| 9. FxPro | 751 | 3.2 ⭐ |
| 10. XM Group | 2,787 | 2.7 ⭐ |
Comprehensive Comparison of the Top 10 USD/JPY Forex Brokers
| Forex Broker | USD/JPY Spread | USD/JPY Commissions | Number of FX pairs to trade | Trust Pilot Rating |
|---|---|---|---|---|
| 1. XM Group | 0.8 (min) | $0 for Ultra Low Micro and Ultra Low Standard accounts; $3.50 per side for the XM Zero Account | 50+ | 2.7 ⭐ |
| 2. IC Markets | 0.94 | Standard MT: $0; Raw cTrader: $6 per round turn; Raw MT: $7 per round turn | 62 | 4.8 ⭐ |
| 3. Fusion Markets | 1.04 avg. (Classic) | $0 on Classic accounts; $4.50 per round turn on ZERO accounts | 90+ | 4.8 ⭐ |
| 4. Admirals | 1.1 | $3 per lot | 82 | 3.8 ⭐ |
| 5. Markets.com | 1.2 | $0 | 54 | 3.8 ⭐ |
| 6. AvaTrade | 1.3 | $0 | 50+ | 4.7 ⭐ |
| 7. FXCM | 1.4 | $0 | 40+ | 4.5 ⭐ |
| 8. Vantage | 1.41 | $3 per side on Raw; $1.50 per side on Pro | 60+ | 4.5 ⭐ |
| 9. FP Markets | 1.64 | Standard account: $0; Raw account: $6 round-turn per lot | 70+ | 4.9 ⭐ |
| 10. FxPro | 1.85 | $0 on Standard Account; $3.50 per side on Raw+ and Elite Accounts | 70+ | 3.2 ⭐ |
This list features 14 regulated forex brokers for trading USD/JPY and is based on factors such as tight spreads, leverage, and related commissions. All of the brokers below are regulated and subject to regulatory oversight.
Top 14 Brokers Offering the Lowest Spread for USD/JPY
Fusion Markets is a globally recognized broker that began operating in 2017 and offers forex, metals, indices, commodities, and share CFDs. The broker provides a broad selection of products and trading tools while striving to maintain fair and secure trading conditions in line with requirements imposed by regulators, including ASIC, VFSC, and FSA.
When testing the broker, we initially opened a Classic MT4 account with a 0.9-pip markup on raw spreads. This commission-free account enabled us to trade USD/JPY with average spreads of 1.06 pips. The Zero account offers raw average spreads of 0.16 pips for the same pair, but we incurred a $4.50 round-turn commission on forex and precious metals.
Gleneagle Asset Management Limited (ABN 29 103 162 278) trading as Fusion Markets, is the issuer of the Fusion Markets Products described in this communication. Trading in Fusion Markets Products involves the potential for profit as well as the risk of loss which may vastly exceed the amount of your initial deposit and is not suitable for all investors. You should read all of these Financial Product Service Terms, the Product Disclosure Statement (PDS) and the Financial Services Guide (available on our website) carefully, consider your own financial situation, needs and objectives for investing in these Fusion Markets Products and obtain independent financial advice.- 2. FP Markets
FP Markets has operated since 2005 and offers a wide selection of tradable assets, including forex. FP Markets supports a range of trading platforms that facilitate market analysis and risk assessment. The broker is regulated by ASIC and CySEC.
Its forex offering includes 60 currency tickers available through platforms such as MT4, MT5, and cTrader. USD/JPY is among the major currency pairs available, with FP Markets offering competitive trading conditions for the pair.
Our team evaluated the broker using a Raw account with minimum forex spreads from 0.1 pips and a $6 round-turn commission, recording average USD/JPY spreads of 0.42 pips. Our tests of the commission-free Standard account showed average spreads of 1.52 pips for the same pair because of the 1.1-pip markup.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73.33% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. BlackBull Markets offers over 60 currency pairs across multiple advanced platforms, including MT4, MT5, TradingView, and cTrader. Forex traders can choose from three live account types at BlackBull Markets, each offering different advantages.
The ECN Standard account may suit traders seeking no minimum deposit requirement and commission-free USD/JPY trading. It offers spreads from 0.8 pips and produced an average of around 0.9 pips during our MT4 tests.
Traders seeking lower USD/JPY spreads can also consider the other BlackBull Markets account types, ECN Prime or Prime+, although the latter is available by invitation only. The ECN Prime account has a minimum deposit requirement of $0 and charges a $6 round-turn commission per lot. We opened a live ECN Prime account for testing and recorded average spreads of 0.1 pips for USD/JPY. All three accounts support leveraged trading, with the highest available ratio for USD/JPY being 1:500.
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange, you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and, therefore, you should not invest money you cannot afford to lose. You should make yourself aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any questions or concerns as to how a loss would affect your lifestyle.- 4. XM Group
XM is a regulated broker that supports forex trading on MT5 and MT4. Active in global markets since 2009, the broker offers customers a wide range of trading assets, including forex, metals, commodities, and stocks. The brand operates under the oversight of authorities such as CySEC, ASIC, and the IFSC.
Traders can access more than 50 currency pairs, including USD/JPY. Low spreads help make XM a competitive option for forex trading, with minimum USD/JPY spreads as low as 0.8 pips through Ultra Low accounts at the CySEC entity. When testing the broker, we first set up an Ultra Low MT4 account, paid no commissions, and traded USD/JPY with average spreads of 1.3 pips. Traders who qualify for professional accounts can trade USD/JPY with zero spreads, although a commission of $3.50 applies.
By comparison, the Zero account enabled us to trade this popular major pair with lower average spreads of around 0.6 pips and a $3.50 commission per side.
Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 5. FXCM
FXCM has operated since 1999 and was the first FX broker listed on the New York Stock Exchange. The brand serves traders from different parts of the world and is authorized by regulators such as the FCA, CySEC, ASIC, ISA, FSCA, and IIROC. Customers can trade a variety of assets, including more than 40 major, minor, and exotic currency pairs available at FXCM.
The broker supports USD/JPY trading with low commissions and competitive spreads that averaged 0.8 pips during our live tests with a funded CFD trading account connected to MT4. As a major currency pair, USD/JPY can be traded with higher leverage, although the maximum permitted ratio depends on the regulatory requirements that apply in the trader’s country of residence. We could use leverage of up to 1:30 at the CySEC-licensed division.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 6. FxPro
Operating since 2006, FxPro is a regulated forex broker offering low spreads on multiple currency pairs, including the popular USD/JPY pair. The broker offers CFD trading on several asset classes, including 70 currency pairs. Although the company is based in the UK, it is regulated by the FCA, CySEC, SCB, and FSCA, allowing it to serve a wide range of traders.
FxPro clients can choose from several popular trading platforms offering low commissions and tight spreads. Commission-free Standard accounts are compatible with MT4 and MT5 and produced average USD/JPY spreads of 1.65 pips during our tests. We also analyzed cTrader accounts, where we incurred a $7 commission for every 100,000 currency units traded but recorded much tighter average spreads of 0.59 pips. FxPro also offers fast order execution, with an average execution speed of under 13 milliseconds.
Trade Responsibly. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 7. AvaTrade
AvaTrade is a regulated brokerage that began operating in 2006 and serves traders globally. The financial services offered by AvaTrade are monitored by 10 regulators, including FFAJ, CySEC, ASIC, ISA, and others.
In addition to offering a selection of more than 50 currency pairs, the broker maintains tight spreads and charges no commissions on forex positions. USD/JPY is also available at AvaTrade, with leverage up to the regulatory maximum for the applicable entity. We traded with a leverage ratio of up to 1:30 at the CySEC subsidiary. After extensively analyzing the broker through a retail MT4 account, we found that it offered competitive conditions for major pairs, with USD/JPY producing average spreads of 1.3 pips throughout the 30-day testing period.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 57% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 8. Markets.com
Markets.com has operated since 2008, offering CFDs in forex, indices, metals, stocks, and other products. The company has expanded to serve over 4.7 million customers across more than 170 countries. Markets.com is regulated by the FCA, ASIC, CySEC, and other authorities.
For forex trading, the broker offers over 50 currency pairs. These include exotic, minor, and major currency pairs, including USD/JPY, which can be traded with low spreads and zero commissions.
To evaluate the trading conditions at Markets.com, we created a live retail account and linked it to MetaTrader 4. The broker operates as a market maker and uses a spread-only pricing model. During our live tests, USD/JPY spreads averaged around 1.0 pip.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.2% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 9. Vantage
Vantage is a regulated forex and CFD broker offering clients a wide selection of tradable assets. Founded in 2009, the brand has become a widely used broker for trading currency pairs, indices, shares, commodities, and other products. The broker serves traders from multiple regions, with regulatory bodies such as ASIC, FCA, FSCA, CIMA, and VFSC overseeing its operations.
Clients have access to more than 60 forex markets, including USD/JPY and other popular and exotic currency pairs. Retail traders can access tight spreads on a wide range of pairs, with zero commissions available on select account types. Raw ECN account users pay commissions but can trade with spreads starting at 0.0 pips.
Our initial tests were conducted using a Standard STP account with all costs incorporated into the spreads, which averaged 1.38 pips for USD/JPY. Raw ECN accounts produced lower average spreads in our tests, with the pair averaging 0.38 pips and an industry-standard commission of $3 per side per standard lot. Both accounts were configured on MT4, although MT5 and TradingView are also supported.
- 10. IC Markets
IC Markets, launched in 2007, offers USD/JPY and other major currency pairs. This retail broker serves traders across Australia and Europe and operates under licenses issued by tier-1 regulators, including ASIC and CySEC. Customers of IC Markets can trade CFDs on forex, stocks, bonds, cryptocurrencies, and other popular products.
A total of 61 currency pairs are available at IC Markets, with a minimum spread of 0.8 pips on USD/JPY through a Standard account. We recorded average spreads of 1.02 pips for the pair with this account type and paid no commissions. The broker also offers Raw Spread accounts for trading higher volumes, with minimum spreads from 0.0 pips, an average of 0.22 pips during live testing, and a $7 round-turn commission on MetaTrader, compared with $6 for cTrader users.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70.64% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 11. Plus500
On Plus500, forex traders can access more than 60 currency pairs through CFDs, including USD/JPY, which features high liquidity and trading volume and tight spreads.
While testing this multi-regulated forex broker, we traded USD/JPY with average spreads of around 1.7 pips and paid zero commissions on trades. At the time of this writing, the overnight financing rates for long and short positions are 0.00292% and -0.01114%, respectively.
New traders can learn more about the “Gopher,” as the pair is often called, through Plus500’s Trading Academy. The broker also publishes regular financial news and market insights to keep traders informed about USD/JPY.
79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. - 12. Global Prime
Global Prime is worth considering if you want to trade major forex pairs or other products with competitive trading costs. The broker offers more than 50 forex instruments, including major, minor, and exotic pairs, with USD/JPY among the available products.
Retail traders can open either a Standard or Raw account, choosing between two pricing models that feature competitively low trading costs. The Standard account allowed us to trade USD/JPY with an average spread of about 1.2 pips without paying commissions on forex trades. During our MT4 tests, we found that this account type adds a 0.9-pip markup to raw spreads.
With the Raw account, we were charged a commission of $3.50 per standard lot per side, but average spreads on USD/JPY dropped to about 0.30 pips. As retail traders, we could access maximum leverage of 1:1000 on major currency pairs and gold through the Vanuatu-regulated entity, while the Australia-licensed division offered considerably lower ratios of up to 1:30 for these markets.
Global Prime is a trading name of FMGP Trading Group Pty Ltd (ABN 74 146 086 017) and is regulated by ASIC and licensed to carry on a financial services business in Australia under Australian Financial Services License No. 385620. Gleneagle Securities Pty Limited trading as Global Prime FX, is a registered Vanuatu company (Company Number 40256) and is regulated by the VFSC. The website is owned and operated by FMGP Trading Group Pty Ltd, ABN 74 146 086 017. - 13. ActivTrades
ActivTrades is a global broker offering competitive spreads, no commissions, and a range of trading tools for new and experienced forex traders. We tested the broker using a live retail MT4 account at the CMVM entity, which enabled us to trade USD/JPY with minimum spreads from 0.5 pips without paying commissions.
The pair produced average spreads of around 0.7 pips throughout the testing period, which we consider competitive for a broker using a spread-only pricing model. Overall, ActivTrades’ forex portfolio comprises 15 major, 16 minor, and 23 exotic pairs.
Depending on the entity with which USD/JPY traders register their accounts, they can use varying leverage levels to increase their exposure. Customers registered with the broker’s FCA and CMVM entities can use leverage of up to 1:30 for major forex pairs such as USD/JPY. To mitigate the risks associated with CFD trading, traders receive negative balance protection and are eligible for investor compensation of up to $1 million.
Customers of the Mauritius entity can use dynamic leverage based on position size: 1:1000 for 0 to 5 lots and 1:500 for 5 to 50 lots, depending on the specific forex instrument.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72% of retail investor accounts lose money when trading CFDs with this provider.You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. - 14. Axi
Axi is a regulated broker offering competitive trading conditions. The broker facilitates trading through the widely used MT4 platform and provides access to over 220 tradable instruments, including more than 70 currency pairs. USD/JPY is available to Axi clients, allowing them to speculate on the pair’s price movements and take long or short positions.
The CySEC-licensed entity provided us with a choice between two main account types, beginning with the commission-free Standard account, which has a $5 minimum deposit requirement. USD/JPY spreads averaged 0.7 pips during our Standard account tests. By comparison, the Pro account provided access to spreads as low as 0.0 pips, averaging 0.1 pips for USD/JPY.
With the Pro account, our trading costs included a $4.50 round-turn commission per standard lot. Professional traders at the CySEC entity may also qualify for Elite accounts with minimum spreads from 0.0 pips, a lower $3.50 round-turn commission, and a $25,000 minimum deposit. The Elite account may not be available to retail traders in certain jurisdictions, including the EU.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading in CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
About the USD/JPY Currency Pair
The USD/JPY pair is quoted in JPY, meaning that it represents the amount of Japanese yen required to purchase one US dollar. It is widely followed by traders because of the economic significance of the United States and Japan, two of the world’s largest economies.
This pair is known for its relatively high liquidity and typically tight spreads, making it attractive to both short-term and long-term traders. USD/JPY consistently ranks as the second-most-traded currency pair, with the most recent statistics showing daily global volumes exceeding $1.37 trillion.
The currency pair is influenced by various factors that affect the value of the US dollar and the Japanese yen. The relationship between the two currencies, as well as their links to other currencies, also plays a role in USD/JPY movements. The interest rate differential between the rates set by the Federal Reserve (Fed) and the Bank of Japan (BoJ) has a significant impact on the USD/JPY exchange rate.
The pair’s price movements are also affected by Japan’s status as a major exporter, as fluctuations in trade balances can influence the yen’s value against the dollar. Additionally, USD/JPY can experience volatility during major announcements from either country’s central bank or during periods of risk aversion in global markets, when the yen often acts as a safe-haven currency.
Because of its importance, USD/JPY is a core offering among forex brokers, many of which provide competitive trading conditions, including low spreads and advanced trading tools that help investors analyze and respond to price movements. Understanding USD/JPY dynamics can help traders make better-informed forex trading decisions.
What Is the Spread in Forex Trading?
One key concept in forex trading that traders should understand before trading any currency pair is the spread. Regardless of the pair you plan to trade, you will notice that there is a bid (sell) price and an ask (buy) price. The difference between these two values is the spread, which represents one of the key costs of trading.
Whenever the price of a currency pair moves, the spread may also change. Unlike most currency pairs, which are quoted to four decimal places, yen pairs are typically quoted to only two decimal places because the yen has a much lower value than other major currencies. As a result, the smallest unit of movement, or pip, in yen pairs corresponds to the second decimal place rather than the fourth. It is also worth noting that many modern brokers now quote USD/JPY to three decimal places, with the third decimal called a pipette or fractional pip.
The spread can be either wide (high) or tight (low), with more pips indicating a wider spread. Traders generally prefer lower spreads because they can reduce trading costs.
What Is the Lowest Spread for USD/JPY?
The spread offered on the USD/JPY pair can be as low as 0.0 pips or slightly higher, depending on the broker and account type you choose. Such tight spreads are available because of the pair’s high liquidity and heavy trading volume, which encourage brokers to keep trading costs competitive.
Because some brokers do not charge commissions, they tend to incorporate any surcharges into the spread, which can affect its value. Other brokers may charge commissions or offer slightly wider spreads, depending on their pricing models.
As USD/JPY is one of the most commonly traded pairs, many brokerages offer spreads of 0.0, 0.3, or around 0.8 pips. Since the pair’s daily movements are usually relatively modest, often measuring around 100 pips, many traders choose to trade USD/JPY. The brokers featured in this article offer some of the lowest spreads available for the pair.
Choosing a broker with narrow spreads can help minimize trading costs, especially if you trade frequently or use strategies that involve numerous trades. Consider spreads alongside other factors, such as execution speed, platform reliability, and regulatory oversight, when selecting a broker for trading USD/JPY.
How Long Are USD/JPY Markets Open?
Although the global forex market is open 24 hours a day, five days a week, certain hours have higher trading volumes for specific currency pairs. Because of time-zone differences, a major trading market is always open at some point during the day. However, not all markets actively trade every currency pair, which explains why particular trading hours offer higher volumes for pairs such as USD/JPY.
While pairs that include the US dollar and Canadian dollar are traded most actively when the New York market is open, USD/JPY typically experiences its largest trading volume between noon and 3 p.m. GMT. The Tokyo market is not open during these hours. Nevertheless, the USD/JPY pair maintains relatively stable trading activity throughout the day, making it a suitable option at various times.
Trading USD/JPY with Leverage
Choosing a currency pair can be difficult, so it is important to compare the advantages and disadvantages of trading USD/JPY. Here are some of the key advantages of trading this pair with leverage:
- Substantial Leverage Ratios: As one of the major currency pairs available from regulated brokers, USD/JPY typically allows traders to use higher leverage. This can be rewarding but also extremely risky, so it is crucial to exercise caution when using leverage.
- High Liquidity: USD/JPY’s high liquidity is another advantage, with larger trading volumes potentially creating more trading opportunities.
- Availability: USD/JPY is one of the most commonly traded pairs, which means it is widely available from regulated brokers that offer leveraged forex trading. The pair also maintains relatively stable trading volumes throughout the day, allowing traders to access it during different market sessions.
- Low Spreads: Since USD/JPY is a highly liquid pair, most brokers that offer leveraged trading provide competitive spreads, with many offering spreads as low as 0.0 pips.
Trading USD/JPY with leverage also involves several considerations. This pair experiences relatively modest daily movements, with changes rarely exceeding 100 pips, which may make it unsuitable for traders who prefer highly volatile assets. Using higher leverage also increases the level of risk, so traders should carefully assess their exposure when trading this major currency pair with a higher leverage ratio.
You might also be interested in exploring these forex brokers:
- USD/CAD Forex Brokers
- USD/CHF Forex Brokers
- USD/CNY Forex Brokers
- AUD/USD Forex Brokers
- GBP/USD Forex Brokers
- EUR/USD Forex Brokers
- EUR/GBP Forex Brokers
About the Editorial Team