A Quick Technical Setup and Trade Idea for Nikkei - Forex News by FX Leaders

A Quick Technical Setup and Trade Idea for Nikkei

Posted Thursday, February 1, 2018 by
Arslan Butt • 1 min read

What’s up, everyone.

The global stock markets are gaining momentum before the non-farm payroll tomorrow. Taking a look at the Japanese and German stock market indices, both are offering nice setups to trade.

Nikkei – Weaker Yen Keeping It Bullish

Fellas, there’s a negative correlation exists between Japanese Yen and the Japanese stock index. Therefore, the weakness in Yen causes the bullish trend in NKY.

Nikkei – Daily Chart

That being said, we need to closely monitor the Nikkei to catch further bullish waves. Lookin at the hourly chart below, Nikkei is testing a resistance level of $23,485. That the same level where Nikkei was having support in the last week.

The break above $23,485 can lead the market up to $23,650 and even to $23,700. Whereas, the index can dip to $23,390 on its failure to break $23,485. See the key trading levels for Nikkei.

Support     Resistance

23579.34    23989.66

23452.6      24116.4

23247.44    24321.56

Key Trading Level:    23784.5

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Related Articles
Japanese stock markets have started to recover, following the closing of the day. Bullish recovery was backed by the Paper & Pulp, Railway..
12 months ago
Comments
0 0 vote
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments