Analysing the Nikkei 225: Insights from the 50D-Moving Average
By Eric Lee, Sales Director from Phillip Nova
50-day Moving Average and Historical Scenario
The 50-day moving average often serves as a key consolidation level for the Nikkei 225.
Historically, after significant up or down movements, the index tends to consolidate around
this average before resuming its trend. A notable example occurred between mid-July and
mid-November 2023. Following a rise from 26,000 to 34,000 points from mid-March to midJune 2023, the index consolidated around the 50-day moving average for 5.5 months before
breaking out and continuing its uptrend.
Current Market Performance
Currently, since early April, the Nikkei 225 has been oscillating along the 50-day moving
average. The suggested resistance level is at 39,460 points. A break above this level could
indicate a resumption of the uptrend. Conversely, if the index falls below 36,700 points, it
would be prudent to exit positions as this level serves as a cut-loss point. Monitoring these
levels can help in making informed trading decisions.
Trade Nikkei 225 at only 50 cents* now
Capitalising on the Nikkei 225’s movements—trade SGX Nikkei 225 Index Futures at only
50 cents* now and stand to win a pair of air tickets to Japan. Learn more here.
*For applicable terms and conditions and a full risk disclaimer, please refer to
phillipnova.com.sg. This ad has not been reviewed by MAS
50-day Moving Average and Historical Scenario
The 50-day moving average often serves as a key consolidation level for the Nikkei 225.
Historically, after significant up or down movements, the index tends to consolidate around
this average before resuming its trend. A notable example occurred between mid-July and
mid-November 2023. Following a rise from 26,000 to 34,000 points from mid-March to midJune 2023, the index consolidated around the 50-day moving average for 5.5 months before
breaking out and continuing its uptrend.
Current Market Performance
Currently, since early April, the Nikkei 225 has been oscillating along the 50-day moving
average. The suggested resistance level is at 39,460 points. A break above this level could
indicate a resumption of the uptrend. Conversely, if the index falls below 36,700 points, it
would be prudent to exit positions as this level serves as a cut-loss point. Monitoring these
levels can help in making informed trading decisions.
Trade Nikkei 225 at only 50 cents* now
Capitalising on the Nikkei 225’s movements—trade SGX Nikkei 225 Index Futures at only
50 cents* now and stand to win a pair of air tickets to Japan. Learn more here.
*For applicable terms and conditions and a full risk disclaimer, please refer to
phillipnova.com.sg. This ad has not been reviewed by MAS
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.