FxWirePro: Nikkei trades higher on strong earnings, good to buy on dips
Nikkei continuing its winning streak and hits highest level since 1992 at 23423 on account of strong corporate earnings and weak yen. The index has jumped almost 10% since Oct 23rd after Abe land slide victory . It is cu…
Nikkei continuing its winning streak and hits highest level since 1992 at 23423 on account of strong corporate earnings and weak yen. The index has jumped almost 10% since Oct 23rd after Abe land slide victory . It is currently trading around 23243 1.4% higher.
USD/JPY is consolidating in narrow range between 114.73 and 113.39 for the past three days. The pair bullish continuation can be seen if it closes above 114.45 (161.8% fibo) level. The pair's major support is around 113.19 (daily Kijun-Sen) and any close below will take the pair till 112.25 (233- day MA)/111.65/111.13. It is currently trading around 114.02.
On the lower side, index major support is around 23080 (hourly Kijun-Sen) and any break below will drag the index down till 22725 (55- H EMA)/22428.
The near term resistance is around 23500 and any break above will take the index to next level till 24000/24280.
It is good to buy on dips around 22700 with SL around 22425 for the TP of 23480/24000.
