FxWirePro: Nikkei Daily Outlook

Asian markets is trading mixed especially Nikkei jumped more than 0.5% amid weakness in US markets.US markets has closed extremely weak more than 2% on Friday with Dow Jones  at 24100 (2.02% lower) and S&P500 2500 (1.91% lower).The Bank of International settlement said in recent report that recent tensions confirms more turmoil in near future. The US 10 year yield is trading flat after a minor jump til 2.92% and US 2 year yield (2.745%) is trading above US 5 year (2.738%). Shanghai is trading steady after sell-off on weak Chinese economic data and is currently trading around 2593 (0.01% lower).Nikkei recovered more than 1.5% from low of 21253 and is currently trading around 21540 (0.70% higher).

USDJPY is has taken support near 89-4H EMA and shown a minor recovery.It is currently trading around 113.48.The near term major resistance is around 114 and any break above targets 114.25/114.55.

On the lower side, near term support is around 21400 and any break below targets 21174/21000.

The near term resistance is at 21800 and any break above targets 22000/22217 (89- day EMA)/22500.

It is good to sell on rallies around 21750-800 with SL around 22000 for the TP of 21170/21000.