Nikkei225 declined sharply and broken major support 18818 on account of stronger yen.The index declined till 18668 and currently trading around 18755 0.2% higher.
•USD/JPY has broken major support 113.75 and declined till 112.57 yesterday. The pair should break below 112 for further weakness. It is currently trading around 113.06.
•Technically index is facing strong support at 18580 (60 day EMA) and any close below that level will drag the index down till 18220 (89- day EMA).
•On the higher side, major intraday resistance is around 19040 (38.2% retracement of 19378 and 18668) and any break above will take the index to 19300 (10- day MA)/19412 (61.8% retracement of 19698 and 18953).
•The index should break below 18000 for further weakness.
It is good to sell on rallies around 19040-19060 with SL around 19300 for the TP of 18580/18250
