FxWirePro: Nikkei hits 8-month high on weak yen and strong global cues, good to buy on dips

Asian markets is trading stronger with Nikkei trading extremely higher and has jumped almost 800 points yesterday on account of positive global cues and weak yen. It hits high of 23800 highest level since 1991.US President Donald Trump has announced new round of tariffs of about $200 billion worth of Chinese imports and China has retaliated by imposing $60 billion worth of US goods .Shanghai composite has recovered strongly and jumped nearly 100 points from the low of 2644 and is currently trading around 2724 (0.91% higher). US markets closed higher with Dow Jones at 26247 (0.71% higher) and S&P500 at 2904 (0.54% higher). US futures are currently trading marginally weak with Dow Jones 26300 (0.03% higher) and S&P500 2907 (0.03% higher). Nikkei is trading around 23845 (0.19% higher).

USD/JPY is trading higher and has broken major resistance 112.15. It confirm further bullishness. It hits high of 112.39 and is currently trading around 112.41.
 

On the lower side, index near term support is around 23483 (23.6% fib) and any break below will drag the index down till 23246 (5- day MA)/23000. The major long term support is around 21750.
 

The near term resistance is around 24000 and any convincing break above will take the pair to next level 24280/24500.

It is good to buy on dips around 23400-450 with SL at 23000 for the TP of 24000/24280.