FxWirePro: Nikkei daily outlook
Source: FxWire Pro - Technicals / 20 Aug 2019 07:31:52 Europe/London
Major resistance- 20800
Major support - 19900
Nikkei is consolidating after hitting high of 20705 following the footsteps of Wall Street. The global stock markets have shown a good recovery on hopes of stimulus from major economy especially Germany and China. US 10 year jumped more than 10% and a 3-month yield got inverted by 30 basis points. The index is holding above 200-W MA and is currently trading around 20679.
US Market- The Wall Street is trading slightly higher with Dow Jones and S&P500 closed at 25779 (0.39%), 2847 (0.25%) respectively.
Japanese Yen- USDJPY is in a narrow range between 105.05 and 106.98. Any break above 107.10-20 confirms minor bullishness and a jump till 108/109.30 is possible. Bearish continuation only below 104.60.
Shanghai composite- Shanghai is trading higher for 4th consecutive days after more than a 10% decline. It is currently trading around 2834. Any close above 2830 confirms bullish continuation and jump till 2900/2945 likely.
Technically Nikkei facing strong resistance around 20800 and any major jump can be seen only if it closes above this level. Any close above targets 21195/21400.
On the flip side, near term support is around 19900 and any violation below this level will take the index till 19600/19200.
It is good to buy on dips around 20000 with SL around 19700 for the TP of 20800.© FxWire Pro 2019. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.