• Fxwirepro:nikkei trades slightly lower on Yen recovery, good to buy on dips

    Source: FxWire Pro - Technicals / 21 May 2018 22:33:22   America/New_York

    • Asian markets are trading slightly weak after a good jump in US markets yesterday. Dow Jones jumped almost 300 points and closed above 25000 for the first time since mid- March as trade war between US- China temporarily eased. Trade tension has been reduced after US Treasuty Secretary Steven Mnuchin said the U.S will suspend tariffs of $150 billion on Chinese imports.  US futures is trading marginally positive with Dow Jones at 24943 (0.40% higher) and S&P500 2737 (0.31% higher). It is currently trading around 22804 0.46% higher.
       
    • USD/JPY has decliend more than 50 pips from high of 111.39 on profit bokking. Any further wekaness can be seen if it brekas below 110 (resistance turned intot support). It is curretly trading around 110.89.
        
    • On the lower side, index major support is around 22560(20- day MA) and any break below will drag the index down till 22400 (daily Kijun-Sen)/22290 (100- day MA)/22000/21697 (Apr 13th low).
       
    • The near term resistance is around 23000 and any break above will take the index to next level till 23280/23490.

      It is good to buy on dips around 22750-800 with SL at 22550 for the TP of 23480.

     

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