FxWirePro: Nikkei recovers slightly as US -EU may suspend auto tariffs, good to sell on rallies

• Asian markets are trading slightly lower as US to impose tariff on China with from today night.Nikkei has shown a minor recovery today as US-European union may suspend auto tariffs.Automakers in Japan recovered after this especailly Honda up 1.70% and Toyota 1.71% higher. Chinese market is continuing its weakness for sixth week and has lost more than 1% for the day .It is trading around 2703.US markets closed slighty on the higher side  with Dow jones at 24356 (0.75% higher) and S&P500 2736 (0.80% higher).USD/JPY which is the main indicator of geo political tension has recovered almost 50 pips from the low of 110.28.US futures is trading marginally lower with Dow Jones at 24312 (0.19% lower) and S&P500 2733 (0.09% lower). Nikkei is currently trading around 21650 0.15% lower.
   
• USD/JPY has gained almost 50 pips from the low of 110.28. But upside is capped due to ongoing geo political tensions between US and China. It is is currently trading around 110.68.
   
• On the lower side, index major support is around 21579 (50% fib) any break below will drag the index down till 21300/21180 (trend line support).
   
• The near term resistance is around 22080 (100-day MA) and any convincing break above will take the index to next level till 22289 (200 day MA)/22500.

It is good to sell on rallies around 21850-900 with SL at 22050 for the TP of 21190..