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.

Free Trading Guides
EUR/USD
Bullish
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
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
Gold
Bearish
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
Oil - US Crude
Bullish
Bitcoin
Mixed
More View more
Real Time News
  • 🇦🇺 AUD NAB Business Confidence (NOV), Actual: 0 Expected: N/A Previous: 2 https://www.dailyfx.com/economic-calendar#2019-12-10
  • The $USD may rise on the FOMC rate decision, while the British Pound, Swedish Krona and Norwegian Krone may gain on the UK election and ECB outlook. Get your market outlook from @ZabelinDimitri here:https://t.co/WvWHP8D710 https://t.co/6e5mzqwicG
  • #EURUSD pivot points (daily) – S3: 1.102, S2: 1.1043, S1: 1.1054, R1: 1.1076, R2: 1.1089, R3: 1.1111- https://www.dailyfx.com/pivot-points?ref=SubNav?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • Heads Up:🇦🇺 AUD NAB Business Confidence (NOV) due at 00:30 GMT (15min), Actual: N/A Expected: N/A Previous: 2 https://www.dailyfx.com/economic-calendar#2019-12-10
  • The Canadian Dollar rose as #USMCA deal bets trimmed pessimism over last week’s dismal jobs report. This is as the Australian Dollar declined alongside the S&P 500 later in the day #CAD $AUDCAD - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2019/12/10/Canadian-Dollar-Prices-Focus-on-USMCA-Deal-Bets-as-AUD-Declines.html?CHID=9&QPID=917702 https://t.co/q9xhzPm0oW
  • Join @IlyaSpivak 's #webinar at 8:00 PM ET/1:00 AM GMT to prepare for the week ahead in trading the $AUDUSD Register here: https://t.co/sZNWPVRHA0 https://t.co/gjDZupVgYG
  • - What are collateralized loan obligations (CLOs)? - Do they pose a risk to the global financial system? - How would FX markets react to CLO meltdown? https://www.dailyfx.com/forex/fundamental/article/special_report/2019/03/22/Currencies-May-See-Wild-Swings-if-Slow-Growth-Breaks-CLO-Market.html
  • #USDCHF pivot points (daily) – S3: 0.9819, S2: 0.9853, S1: 0.9866, R1: 0.9901, R2: 0.9922, R3: 0.9957- https://www.dailyfx.com/pivot-points?ref=SubNav?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • The #Euro snapped downward to overturn a would-be bullish breakout, signaling that sellers have reclaimed the initiative. Will they follow through this time? Get your market update from @IlyaSpivak here:https://t.co/RdAMU0QFYu https://t.co/inKMNJuyj5
  • En español: ¿Qué es el DAX 30? Guía del trader sobre el #DAX30 #GER30 #trading https://t.co/5ERZBPd4hf https://t.co/00FPI76keU
Nikkei 225 Technical Analysis: Key Supports Now Very Close

Nikkei 225 Technical Analysis: Key Supports Now Very Close

2018-08-16 00:30:00
David Cottle, Analyst
Share:

Nikkei 225 Technical Analysis Talking Points:

  • The Nikkei 225 remains under pressure
  • It is currently just below key Fibonacci support
  • If that conclusively breaks, the next level down will be key

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

The Nikkei 225 has been struggling since it broke its previous range to the downside about a week ago, and it doesn’t look as though respite is coming anytime soon.

The sharp daily fall seen on August 10 was fundamentally rooted in new worries about Turkey’s economy, which added to existing fears about global trade. Technically it took the Tokyo blue-chip benchmark down through the first, 23.6% Fibonacci retracement of the rise up to the peaks of May from the lows of March.

That came in at 22,395 and, probably not coincidentally, had provided the base of a previous trading range which had endured since mid-July. Now the index is below the second, 38.2% retracement, which was at 21,993. We haven’t seen a daily close below this point yet, but on current showing it seems likely that we will.

Of course that would put market focus on the 50% retracement level which comes in at 21,669. Notably this was also the point at which the last bearish foray was beaten back on July 6. It seems quite likely that this support level will hold again if tested a second time, unless downside momentum picks up quite sharply.

Nikkei 225 Technical Analysis: Key Supports Now Very Close

It is probably worth noting, however that the index has seen a rather bearish moving average crossover in the last couple of days, with the 100-day average moving below the 50-day. This is usually seen as a sign of impending trend change and the index has slipped pretty solidly ever since.

This is not an infallible guide of course but, all the same, it’s now more likely than not that that 50% retracement level will face a test in the next few days.

If the bulls can regain some momentum then their first target will probably be resistance at 22,344, which was the August 15 close. They will have their work cut out, however to fight back above that sharp drop of August 10.

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.