FxWirePro: Nikkei trades lower after Fed rate hike,good to sell on rallies

Asian markets are trading extremely weak following footsteps of Wall Street. US Fed has hike interest rates for fourth time in 2018 and lowered its forecasts to two times in 2019.Fed has trimmed its 2019 growth forecast from 2.5% to 2.3%.. US markets hits fresh 14-month low and has closed with more than 1.5% with Dow Jones 23327 (1.49% lower) and S&P500 2506 (1.54% lower). The US 10 year yield is trading lower and hits fresh 4-month low after breaking 2.817% low made on Dec 10th 2018.US 2 year yield (2.65%) is trading above US 5 year (2.649%). Shanghai is trading down and is currently trading around 2562 (0.54% lower). Nikkei futures is trading weak sightly below 21000 and is currently trading around 21010 (0.43% lower).

USDJPY has broken major support around 112.20 and declined till 112.01. It istrading slightly below trend line support. It is currently trading around 112.01.The near term major support is around 112 and any break below targets 111.37.

On the lower side, near term support is around 20200 and any break below targets 20000/19600.

The near term resistance is at 20670 (23.6% fib) and any break above targets 20800/21159 (5-day MA).

It is good to sell on rallies around 20670-700 with SL around 21000 for the TP of 20000.