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FxWirePro:Nikkei225 trades weak on strong yen,good to sell on rallies

  • Major intraday resistance - 18492 (5- day MA). 

  • Nikkei trades weak on account of stronger yen and weak global markets .Global U.S dollar and U.S bond yields fell on Friday after weaker than expected U.S economic data hits investor sentiment along with worries over North Korea and upcoming French election.
     
  •  The Japanese yen broken major support at 200- day MA and declined till 108.13.Any close below 108.50 confirms major weakness , dip till 106.80 likely.
     
  • On the lower side ,break below 18325 ( 61.8% retracement of 16106 and 16698) confirms minor weakness , dip till 18000/17800 is possible. 
     
  • The major resistance is around 18495 (5- day MA) and any break above will take the index till 18680 (daily Tenken-Sen))/ 18837 (100- day EMA).

 
It is good to sell on rallies around 18300-350 with SL around 18500 for the TP of 18325/18000.

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