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Nikkei struggles to close above 19000, dip till 18450 likely

•Nikkei shown a mild jump above 19000 after making a low of 18796 but not able to hold at higher levels. The index is facing strong support at 60- day EMA and any break below confirms further weakness. It is currently trading at 18948.

•The index is trading weak on account of stronger yen and the pair has taken support near 100 -day EMA and slightly jumped from that level. But it's upside capped by 7- day MA around 112.50 and minor bullishness can be seen above that level.

• On the lower side , 18785 is acting as next immediate support and any break below targets 18638 (Jan 18th 2017 low)/18367 (100- day EMA).

•The major weekly resistance is around 19120 (10-  MA) and any break above will take the index till 19285 (Feb 1st high)/19566.

It is good to sell on rallies around 19000-19025 with SL around 19300 for the TP of 18450/18100.

 

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