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
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bullish
Gold
Mixed
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • What are some trading mistakes @nickcawley1 made during his career and what did he learn from them? Find out: https://t.co/XOTxEejF5O
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.62% Gold: -1.24% Silver: -3.60% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/lBG9B5iYSk
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.19% 🇳🇿NZD: 0.19% 🇨🇭CHF: 0.06% 🇪🇺EUR: -0.04% 🇬🇧GBP: -0.08% 🇯🇵JPY: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/jOgEIxjTiT
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: 0.85% Germany 30: 0.84% FTSE 100: 0.65% Wall Street: 0.23% US 500: 0.10% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/CIkPYnBu5L
  • #Gold prices are sinking, dipping back below the $2k/oz figure as inflation expectations continue to ease following Friday's US jobs data. The report showed faster job creation and higher wage growth, cooling Fed stimulus bets
  • Why financial market traders must monitor both monetary and fiscal policy? Find out from @MartinSEssex here:https://t.co/Fkzk88Y5gm https://t.co/D5upwqIsgB
  • 🇬🇧 Claimant Count Change (JUL) Actual: 94.4K Expected: 10K Previous: -28.1K https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Employment Change (MAY) Actual: -220K Expected: -288K Previous: -126K https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Average Earnings excl. Bonus (JUN) Actual: -0.2% Expected: -0.1% Previous: 0.7% https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Average Earnings incl. Bonus (JUN) Actual: -1.2% Expected: -1.1% Previous: -0.3% https://www.dailyfx.com/economic-calendar#2020-08-11
Nikkei 225 Technical Analysis: Upside Break Lacks Conviction

Nikkei 225 Technical Analysis: Upside Break Lacks Conviction

2018-07-12 03:30:00
David Cottle, Analyst
Share:

Nikkei 225 Technical Analysis Talking Points:

  • The Japanese stock benchmark has pushed nicely above its former downtrend channel
  • However, this mini rally seems to be losing steam before the first key resistance level has been taken
  • Bulls need to retake the initiative soon

Get trading hints and join our analysts for interactive live coverage of all major economic data at the DailyFX Webinars.

The Nikkei 225 has broken above its previously dominant downtrend but the bulls do not look especially comfortable even so.

Monday’s strong gains saw the Tokyo equity benchmark close safely atop the downward channel which had been in place since June 21 and was in any case merely an extension of the fall from the recent significant peak, hit on June 12.

However, so far those gains have notably failed to take the index back into what looks like a key resistance zone marked in red on the chart below.

Nikkei 225 Technical Analysis: Upside Break Lacks Conviction

It is composed of closing highs and lows from late June and early July and the bulls are going to have to retake this on a daily and preferably weekly closing basis if they’re going to push the index back up to those recent highs.

At the moment, it seems unlikely that they’ll be able to manage this feat, although bearish trades should probably be tempered with stop-loss buy orders within this resistance zone.

The downside there is possible support at 21986.8. That’s the second, 38.2% Fibonacci retracement of the rise up from the lows of late March to the peak of May 21 (the first was abandoned on June 26). However, that prop has already given way once before being retaken and it’s likely that the next, 50% Fibonacci retracement level will prove more durable.

It comes in at 21663.2 and, probably not at all coincidentally, that is where the last bearish foray lower ran into trouble back at the start of this month.

Resources for Traders

Whether you’re new to trading or an old hand DailyFX has plenty of resources to help you. There’s our trading sentiment indicator which shows you live how IG clients are positioned right now. We also hold educational and analytical webinars and offer trading guides, with one specifically aimed at those new to foreign exchange markets. There’s also a Bitcoin guide. Be sure to make the most of them all. They were written by our seasoned trading experts and they’re all free.

--- Written by David Cottle, DailyFX Research

Follow David on Twitter@DavidCottleFX or use the Comments section below to get in touch!

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

DISCLOSURES

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.