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FxWirePro:Nikkei225 forms bearish Bat pattern, good to sell on rallies

Nikkei225 jumped slightly above 19500 level and reached till 19566 yesterday. It is currently trading around 19458 0.27% lower.

The index has formed bearish Bat pattern and any break above Potential Reversal Zone (PRZ) will confirm bullishness.

•USD/JPY has shown a very minor jump above 115 at the time of writing but it should break above 115.62 for further bullishness. It is currently trading around 114.88

•Technically index is facing strong support at 19385 (10- 4H MA) and any break below that level will drag the index down till 19212 (38.2% retracement of 18638 and 19566)/19000.

•On the higher side, major intraday resistance is around 19700 and any break above will take the index to 20000.

•The index should break below 18000 for further weakness.

It is good to sell on rallies around 19500-550 with SL around 19700 for the TP of 19220/19000.

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