FxWirePro:Nikkei trades higher on weak yen, good to buy on dips
Nikkei has jumped slightly on weak yen and snap election hopes. The pair jumped after hitting low of at the time of writing and is trading around 20380 0.27% higher. Japan PM Shinzo Abe is expected to call a snap electio…
Nikkei has jumped slightly on weak yen and snap election hopes. The pair jumped after hitting low of at the time of writing and is trading around 20380 0.27% higher.
Japan PM Shinzo Abe is expected to call a snap election on Monday and polls are to be preponed one year earlier.
USD/JPY has recovered slightly after hitting low of 111.65. The near term support is around 111.11 (100- day MA) and any convincing break below will take the pair to next level till 110/108. It is currently trading around 112.23. Short term support is around 107.30 and any break below targets 106.
On the lower side, index major support is around 20180 (7- day MA) and any break below will drag the index down till 20000/19840 (100- day MA)/ 19780 (20- day MA)/19425 (61.8% retracement of 19144 and 19899).
The near term resistance is around 20500 and break above will take the index to 20905/21000.
It is good to buy on dips around 20000 with SL around 19850 for the TP of 20500.
