FxWirePro: Nikkei hits 1- month high on weak yen, good to buy on dips
Nikkei hits 1- month high at 19899 at the time of writing on account of declining yen and hurricanes hitting US ebbed. The index jumped almost 650 points from the low and it is trading around 19864 0.06% higher. USD/JPY …
Nikkei hits 1- month high at 19899 at the time of writing on account of declining yen and hurricanes hitting US ebbed. The index jumped almost 650 points from the low and it is trading around 19864 0.06% higher.
USD/JPY has shown a huge recovery from the low of 107.32. The pair has broken major resistance at 110 and is currently trading around 110.12. The minor bullishness can be seen only above 110.28 (55- day EMA). Any break above will take the pair till 110.67/111.15 (100- day MA).Short term support is around 107.30 and any break below targets 106.
On the lower side, index major support is around 19505 (20- day MA) and any break below will drag the index down till 19425 (61.8% retracement of 19144 and 19899)/19215 (233- day MA)/19144.
The near term resistance of Nikkei is around 20000 and break above will take the index to 20319 (Jun 20th 2017).Short term bearish invalidation only above 20319.
It is good to buy on dips around 19550-600 with SL around 19370 for the TP of 20000/20319
