FxWirePro: Nikkei trades lower on strong yen, good to buy on dips
Nikkei has shown a minor decline after hitting high of 24122 yesterday. The major reason for slight decline was due to slight bullishness in yen. US S&P 500 and NASDAQ finish records as technology shares leading the way …
Nikkei has shown a minor decline after hitting high of 24122 yesterday. The major reason for slight decline was due to slight bullishness in yen. US S&P 500 and NASDAQ finish records as technology shares leading the way following strong earnings from Netflix. It is currently trading around 23956 0.25% lower.
The Japanese yen was trading higher against all majors on upbeat economic data. Japanese PMI manufacturing rose to 54.40 in Jan up from 54 and beat expectations of 54.3. The pair has broken major support of 110 and this confirms minor weakness a dip till 108 likely. The near term resistance is around 111.50 and any break above will take the pair to next level till 112. Any daily close below 110 will take the pair to next level till 108.
On the lower side, index major support is around 23800 (233- H MA) and any break below will drag the index down till 23500/23200.
The near term resistance is around 24200 and any break above will take the index to next level till 24280/24480.
It is good to buy on dips around 23750-800 with SL at 23500 for the TP of 24200/24480.
