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Nikkei225 breaks psychological resistance at 17000, jump till 17300 likely

  • Nikkei225 has broken major psychological resistance at 17000 and jumped till 17062 at the time of writing. Japanese index has made a low of 16752 yesterday and recovered sharply from that level. It is currently trading around 17054.
     
  • Technically in the daily chart the index takes support near Kijun-Sen (16702) and so any minor weakness can be seen only below 16700 level.
     
  • On the higher side, resistance is around 17159 (Sep 2nd 2016 high) and any break above targets 17300/17500.Nikkei should break above 17159 for further bullishness.
     
  • The major support is around 16750 (daily Tenken-Sen) and any break below targets 16625 (21- day MA)/16550 (200-day MA).

It is good to buy on dips around 16900-950 with SL 16700 for the TP of 17150/17300.

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