FxWirePro: Nikkei225 downside capped by 55- 4H MA, good to buy on dips
Nikkei has shown a minor pullback after hitting low of 22106. The index hits 25- year high at 23423 and declined almost 1300 points from the high on account of profit booking and weak global markets. It is currently trad…
Nikkei has shown a minor pullback after hitting low of 22106. The index hits 25- year high at 23423 and declined almost 1300 points from the high on account of profit booking and weak global markets. It is currently trading around 22465 0.49% higher.
USD/JPY is consolidating in narrow range between 113.09 and 114.73 for the past one week. The pair bullish continuation can be seen if it closes above 114.45 (161.8% fibo) level. On the lower side, major support is around 112.95 (Oct 31st 2017 low) and any close below will take the pair till 112.25 (233- day MA)/111.68 (100- day MA)/111.13. It is currently trading around 113.65.
On the lower side, index major support is around 22080 (20- 4H MA) and any break below will drag the index down till 22000/21840.
The near term resistance is around 22800 and any break above will take the index to next level till 23000/23200/23480.
It is good to buy on dips around 22250-300 with SL around 22080 for the TP of 22800/23000.
