When people talk about "the dragon" they're discussing how much one British Pound is worth in Japanese Yen showcasing the GBP JPY currency relationship. Given the stark economic contrasts between the UK and Japan this currency duo dances unpredictably creating many chances for traders to make a profit. Being key players in the global economy and having significant trade ties the shifts seen in this duo are often shaped by economic figures and global political happenings.

When the London and Tokyo markets are both open there's a notable uptick in activity for those trading GBP JPY but even outside those hours, it's easy to make trades all day long. Its reputation for moving a lot in price within a single day and having sudden shifts makes it a favorite for those who like the thrill of big changes in their trading.

Several elements sway the GBP JPY rate; these range from the gap in interest rates set by the Bank of England and the Bank of Japan to the impact of economic reports from both nations along with how this currency pair reacts to the overall mood of the global market. In periods filled with doubts in the market the Japanese Yen typically gains strength due to its status as a safe-haven currency. On the flip side the Pound tends to lose ground which can result in notable fluctuations in this currency duo.