FxWirePro:Nikkei upside capped by 20000 level, good to sell on rallies
Nikkei showing a slight sell off after hitting 17 month high on account of profit booking. The index has gained almost 8.5% from the low made on Apr 14th 2017 on account of easing fears about euro zone and strong earning…
Nikkei showing a slight sell off after hitting 17 month high on account of profit booking. The index has gained almost 8.5% from the low made on Apr 14th 2017 on account of easing fears about euro zone and strong earnings. It is currently trading around 19827 0.19% lower.
USD/JPY formed a minor top around 114.36 and shown a mild decline from that level.Any further bullishness only above 115.50.It is currently trading around 113.69.
On the the lower side ,near term support is around 19585 (23.6% retracement of 18193 and 20019) and any break below targets 19338 (21-EMA)/ 19106 (daily Kijun-Sen) is possible.
The major resistance is around 20000 and any break above will take the index till 20180/20470.
In daily chart Nikkei has formed bearish divergence in RSI and MACD , a slight decline till 19500/19300 likely.
It is good to sell on rallies around 19880-19900 with SL around 20050 for the TP of 19585/19300.
