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.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • RT @FxWestwater: Australian Dollar Fights FOMC-Charged US Dollar After Upbeat PMI Data Link: $AUDUSD…
  • Heads Up:🇯🇵 Foreign Bond Investment (18/SEP) due at 23:50 GMT (15min)
  • Gold prices gain as potential systemic risks out of China's Evergrande Group roil broader markets. Meanwhile, iron ore is ticking higher after a big drop on Monday as China steps up steelmaking curbs. Get your market update from @FxWestwater here:
  • #ASEAN based #USD index continues to extend the bounce off September lows post #FOMC This follows a test of the 100-day SMA as well as a rising trendline from June Eyes on the 38.2% Fib extension before potentially retesting the July/August highs
  • 🇦🇺 Markit Manufacturing PMI Flash (SEP) Actual: 57.3 Previous: 52
  • 🇦🇺 Markit Services PMI Flash (SEP) Actual: 44.9 Previous: 42.9
  • Heads Up:🇦🇺 Markit Manufacturing PMI Flash (SEP) due at 23:00 GMT (15min) Previous: 52
  • Heads Up:🇦🇺 Markit Services PMI Flash (SEP) due at 23:00 GMT (15min) Previous: 42.9
  • Gold remains higher despite positive Evergrande news out of China. Meanwhile, copper bulls are pushing prices upward as the potential for a housing crisis in China ebbs. Get your market update from @FxWestwater here:
  • RT @BrendanFaganFx: USD/BRL May Continue to Gyrate as Brazilian Central Bank Tightens by 100 Basis Points $USD $USDBRL #FOMC Link: https…
Nikkei 225 Technical Analysis: Trade Back In Range, Former Top Eyed

Nikkei 225 Technical Analysis: Trade Back In Range, Former Top Eyed

David Cottle, Analyst

Nikkei 225 Technical Analysis Talking Points:

  • The Nikkei’s uptrend channel has survived a downside test
  • But its top remains quite far off
  • The bulls’ immediate task is to avoid a potentially damaging lower low.

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

The Nikkei 225’s dominant daily-chart uptrend looks to have survived a test this week. However a potentially-damaging ‘lower high’ remains very much in prospect and the bulls still have work to do if they are to defend the progress made this year.

Nikkei 225, Daily Chart

The blue-chip Tokyo benchmark has edged back into the trading band which had marked trade since mid-February. Previously that range had bounded the index between early and mid-December. That was just before the six straight daily sessions of sharp falls which took the index down to this year’s lows, falls which the bulls have yet to fully make back.

Their first target now is probably consolidation within that trading band, which would look a lot more convincing if it could be maintained on a weekly or monthly close. Once the index is comfortable there then it could try for the last significant peak. That’s December 12’s 21.944.

That in turn guards the way to November’s top in the 22,790 area, however that looks like a big ask at present, even if this year’s uptrend channel remains intact.

Immediate support now comes in at the range base of 21,169, with the channel base of 20,992 in focus if it gives way. Below that a support band from last month with its top at 20,507 would probably come into play.

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.