News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Nikkei 225 Technical Analysis: 200-Day Moving Average in Play

Nikkei 225 Technical Analysis: 200-Day Moving Average in Play

Oded Shimoni, Junior Currency Analyst

Talking Points:

- Nikkei 225 continues to pivot around 16,500

- Range between 17,000 and 16,000 looks key in the short term

- Price still trades below 200-day SMA

If you’re looking for trading ideas, check out our Trading Guides Here

The Nikkei 225 is nudging lower today, as the index continues to pivot around the 16,500 level.

Nikkei 225 prices have been ranging between the well-defined 18,000 resistance zone and the 15,000 support since the start of the year, with gains appearing to be corrective in the context of the near term down trend from June 2015 highs. Indeed, the price is still trading below its 200-day SMA at the time of writing.

This seems to make the range between 16,000 to 17,000 key in the short term. The index is trading in that narrower range for the past few months, with the 16,500 level in the middle indicative of short term momentum.

If the Nikkei manages to break above its 200-day SMA and the 17,000 handle, focus seems likely to shift for a potential attempt on the aforementioned longer term range highs.

On the other hand, a move to the downside might expose the 16,000 level, followed by the range lows around 15,000.

Nikkei 225 Daily Chart: September 30, 2016

Nikkei 225 Technical Analysis: 200-Day Moving Average in Play

--- Written by Oded Shimoni, Junior Currency Analyst for DailyFX.com

To contact Oded Shimoni, e-mail oshimoni@dailyfx.com

Follow him on Twitter at @OdedShimoni

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES