FxWirePro: Nikkei trades higher on strong global markets, god to buy on dips
Nikkei has shown a minor jump after w week of consolidation. The major reason for recovery was due to positive global markets. US dow and S&P 500 is trading at record high but Nikkei upside will be capped by strong yen. …
Nikkei has shown a minor jump after w week of consolidation. The major reason for recovery was due to positive global markets. US dow and S&P 500 is trading at record high but Nikkei upside will be capped by strong yen. It is currently trading around 23933 1% higher.
USD/JPY has declined sharply after breaking 233- day MA. The pair declined almost 150 pips from the level. The pair should close below 110 for further weakness. The near term resistance is around 111.13 (23.6% fibo) and any break above will take the pair to next level till 111.80/112. Any daily close below 110 will take the pair to next level till 108.
On the lower side, index major support is around 23600 (10- day MA) and any break below will drag the index down till 23395/23200 (20- day MA) .
The near term resistance is around 24000 and any break above will take the index to next level till 24280/24480.
It is good to buy on dips around 23650 with SL at 23400 for the TP of 24000/24280.
