Nikkei is on Fire: Next Stop 19800
Rowan Crosby • 1 min read
I’ve spoken a few times about how the 19300 in the Nikkei has been rock solid. It’s held up a fair few times recently and has been really reliable for a few trades.
Overall the Japanese stock index has been trading in very specific ranges, based on support and resistance levels. By looking at the charts we can see that it’s been following these technical levels closely.
That give us an opportunity to play these ranges while the going is good.
19800 is Up
We’ve recently taken out 19700, so my next upside target is 19800 followed by 20000. As you can tell, if we can hold above 19800, our risk/reward prospects look quite good. So technically speaking, keep a close eye on how we trade if we can get above 19800.
The Nikkei rallied strongly yesterday along with US markets, so whether that can continue remains to be seen. But for us we just need to focus on the key levels.