Nikkei is trading in a narrow range between 24168 and 23741 for the past 4 days on account of Christmas and New year. Any major movement can be seen only after the holidays. The index was one of the best performers for the past 4 months and jumped more than 20% on easing US-China trade tension and weak yen. USDJPY recovered more than 500 pips from a low of 104.45 made in Aug 2019. US markets closed flat with S&P500 3224 (0.09% higher and Dow 28551 (0.34% higher).
Shanghai continues to trade lower after forming top around 3039 and is trading well below the 3000 levels.Any break beyond 3050 confirms further bullishness.
On the flip side, near-term support is around 23616 (21- day MA) and indicative break beneath will take the index till 23425/23000.
The 24200 will be acting as resistance, convincing crack over targets 24500/24750.
It is good to buy on dips around 23680-700 with SL around 23450 for the TP of 24280/24400.
