Nikkei 225 Battle Lines Drawn- Key Levels to Know

The index is in converging successive a vicious connection insurgency barrier. Here are a updated targets cancellation levels that matter.

Talking Points

  • Index in converging successive vicious insurgency barrier
  • Updated targets cancellation levels
  • Looking for some-more trade ideas? Review DailyFX’s 2017 Trading Guides. Join Michael for Live Weekly Trading Webinars on Mondays at 13:30GMT (8:30ET)

Nikkei 225 Daily

Nikkei 225 Daily

Technical Outlook:The Nikkei 225 has continued to connect successive a vicious insurgency threshold during 19636/76 given a start of a year. This turn is tangible by a 161.8% prolongation of a allege off a 2016 low a 78.6% retracement of a decrease off a 2016 high and intersect on a 50-line of a descending median-line arrangement over a successive few days. Key connection daily support rests during 19018 where a 2017 low-day tighten converges on simple trendline support.

The near-term concentration is on a mangle of this operation with a tighten above indispensable to symbol resumption of a broader uptrend. Such a unfolding eyes successive topside insurgency objectives during 20026 and a median-line / 2016 high-day tighten during 20746. A mangle successive this arrangement risks a some-more suggestive improvement towards connection support during 18596/650 where a 100% extension, 61.8% retracement, 100-day relocating normal and a yearly lows intersect on a reduce median-line support. We’ll haven this segment as a bullish invalidation.

Nikkei 225 – 240min

Nikkei 225 240min

Notes: A closer demeanour during cost movement highlights this converging operation successive pivotal insurgency with a 61.8% retracement of a allege off a yearly low serve emphasizing a stress of a 19018/31 near-term support zone. Until this arrangement breaks, keep these levels in focus. Ultimately, we am looking higher- though for now we would need to honour a mangle successive 19018 as a some-more notable technical development. Keep in mind we have a FOMC a BOJ within a 24-hour retard successive week.

Relevant Data Releases

Nikkei 225 Battle Lines Drawn- Key Levels to Know

Other Setups in Play:

  • Weekly Strategy Webinar: USD Volatility in Focus
  • DXY Do or Die – Trendline Break to Seal a Fate
  • USD/JPY Decision Time- 112.30 Line in a Sand
  • Crude Prices Flirt with Key Resistance- 2017 Opening Range Intact
  • USD/CAD Constructive Above 1.3070 Ahead of Canada Retail Sales

—Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex hit him during or Click Here to be combined to his email placement list.

About author