• FxWirePro: Nikkei down side capped by 200-h EMA, good to buy on dips

    Source: FxWire Pro - Technicals / 17 Jan 2018 00:50:26   Eastern Standard Time

    • Nikkei has shown a minor recovery after hitting low of 23647. The major reason for recovery was due to slight weakness in yen. US dow and S&P 500 shown a correction of 385 and 40 pionts from the life time high. It is currently trading around 23832 0.4% higher.
        
    • USD/JPY recovering slightly after making a low of 110.19.  The pair jumped almost 80 pips from the low. The pair should close below 110 for further weakness. The near term resistance is around 111.03 (23.6% fibo) and any break above will take the pair to next level till  111.80/112. Any daily close below 110 will take the pair to next level till 108. 
       
    • On the lower side, index major support is around 23600 (200- H EMA) and any break below will drag the index down till 23400 (38.2% fibo)/23200.
       
    • The near term resistance is around 24000 and any break above will take the index to next level till 24280/24480.

    It is good to buy on dips around 23650 with SL at 23400 for the TP of 24000/24280.