FxWirePro- Nikkei225 Daily Oultook

Nikkei 225 -

Nikkei surged above 38000 on the weak yen. It hit a high of 38655 at the time of writing and is currently trading around 38585.

BOJ kept its rates unchanged at 0.25% as expected and said that the central bank would increase if the economy and prices moved on track.

The index holds below the short-term 34 and above 55 EMA and below long-term moving average (200- EMA) in the 4-hour chart.

The near-term resistance is around 38835, any violation above will take the index to  39200/39500/40000. Overall bullish continuation only above 42550.

On the lower side, immediate support stands around 37800, any breach below will drag the index down to 37500/37269/37000/36800—further bearishness is only below 35000.

Indicator (4- hour chart)

CCI (14)- Bullish

CCI (50)- Bullish

Average directional movement Index  - Bullish

It is good to buy on dips around 38000 with SL around 37400 for TP of 39000.