Nikkei225 forms cup and handle pattern, break above 1700 targets 17480

Pattern Formed – Cup and Handle

Major resistance- 17000

• Nikkei225 has once again declined after making a high of 16930.It is currently trading around 16806.
   
• The index should break the pschycological resistance 17000 for further bullishness.
   
• Short term trend is slightly bullish as long as resistance 16525 (100 4H MA) holds. 
   
• Any break above 17000 will take the index to next level 17100/17500. Extreme bullishness can be seen  if the index breaks above 17100 (200 day MA).
   
• On the lower side immediate support is around 16800 (21 4H MA) and any break below targets 16570 (90 4H EMA)/16525/16285 (200 4H MA).

It is good to buy above 17000 with SL 16780 for the TP of 17380/17500.