"JP225 / NIKKEI225" Japanese Index Market Bullish Heist PlanHola! Ola! My Dear Robbers / Money Makers & Losers, 🤑 💰
This is our master plan to Heist "JP225 / NIKKEI225" Japanese Index Market based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned in the chart focus on Long entry. Our target is Red Zone that is High risk Dangerous level, market is overbought / Consolidation / Trend Reversal / Trap at the level Bearish Robbers / Traders gain the strength. Be safe and be careful and Be rich.
Entry 📈 : Can be taken Anywhere, What I suggest you to Place Buy Limit Orders in 15mins Timeframe Recent / Nearest Low Point take entry should be in pullback.
Stop Loss 🛑 : Recent Swing Low using 2H timeframe
Target 🎯 : 41.000
Attention for Scalpers : Focus to scalp only on Long side, If you've got a lot of money you can get out right away otherwise you can join with a swing trade robbers and continue the heist plan, Use Trailing SL to protect our money 💰.
Warning : Fundamental Analysis news 📰 🗞️ comes against our robbery plan. our plan will be ruined smash the Stop Loss 🚫🚏. Don't Enter the market at the news update.
Loot and escape on the target 🎯 Swing Traders Plz Book the partial sum of money and wait for next breakout of dynamic level / Order block, Once it is cleared we can continue our heist plan to next new target.
💖Support our Robbery plan we can easily make money & take money 💰💵 Follow, Like & Share with your friends and Lovers. Make our Robbery Team Very Strong Join Ur hands with US. Loot Everything in this market everyday make money easily with Thief Trading Style.
Stay tuned with me and see you again with another Heist Plan..... 🫂
Nikkei225trade
TradeCityPro | NIKKEI 225 Market Trends and Key Levels👋 Welcome to the TradeCityPro channel! Today, we’ll analyze the NIKKEI 225, the stock market index for the Tokyo Stock Exchange, identifying key entry and exit points.
🌏 Overview of NIKKEI 225’s Recent Movements
Recently, the NIKKEI 225 has experienced volatility due to:
Concerns over tech stocks - Yen appreciation. - Possible interest rate hikes by the Bank of Japan , Declines in major stocks like SoftBank and Tokyo Electron have contributed to recent drops.
On the other hand, indices like the Hang Seng in Asia have performed better, supported by positive news about stock buybacks, highlighting contrasting trends in regional markets.
🕒 Weekly Timeframe Analysis
The primary trend remains bullish but shows weakness due to rejections near the key resistance at 41,185.
However, the formation of a higher low indicates weak sellers and supports a longer-term bullish outlook.
As long as the price stays above the curve line and critical support at 33,903, the bullish trend remains intact , Breaking 41,185 would confirm a new primary uptrend.
📆 Daily Timeframe Analysis
On the daily chart, a rejection from the 40,104 resistance has led the price to consolidate within the range of 37,367 to 40,104.
This rejection has formed a Double Top pattern, a bearish structure.
Target for this pattern: After breaking 37,367, the price may drop towards 35,152.
⏱ 4-Hour Timeframe Analysis
The price is currently in a range box, resting on critical daily support.
If this support at 37,747 breaks with selling pressure, a move towards 36,677 is likely.
💥 Short Trigger:
Confirmed break below daily support at 37,747 , Alternatively, a rejection from the trendline could also trigger a short position.
📈 Long Trigger:
If the price finds support and moves upward, breakouts above the trendline and the trigger level at 38,466 can confirm a long position.
📝 Final Thoughts
NIKKEI 225 remains in a pivotal zone, with key supports and resistances guiding potential moves. Ensure proper risk management and monitor price action at critical levels for optimal trade entries.
This analysis reflects our opinions and is not financial advice.
Share your thoughts in the comments, and don’t forget to share this analysis with your friends! ❤️
NIKKEI Long Trade Targets Await!NIKKEI Trade Details:
The Nikkei index on the hourly timeframe confirms a bullish setup, with a clear long entry signal as per the Risological swing trading indicator . The trend is gaining strength, and the chart suggests a potential move towards profit targets.
NIKKEI Key Levels:
Entry: 38304
Stop Loss (SL): 38004
Take Profit Targets:
TP1: 38674
TP2: 39273
TP3: 39873
TP4: 40243
NIKKEI Analysis:
The chart indicates a recovery with higher lows and sustained buying pressure. The Risological trendline confirm the bullish trend, and momentum indicators align with the upward trajectory. With calculated risk, this trade offers a solid reward ratio.
NIKKEI Outlook:
Monitor for momentum consistency to hit targets. Stay alert for profit-locking opportunities at each target level to maximize gains. Watch out for resistance near higher levels to secure returns effectively.
JP225 / NIKKEI 225 Index Bank Money Heist Plan on Bullish Side.Ola! Ola! My Dear Robbers / Money Makers & Losers, 🤑 💰
This is our master plan to Heist JP225 / NIKKEI 225 Index Bank based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned in the chart focus on Long entry. Our target is Red Zone that is High risk Dangerous level, market is overbought / Consolidation / Trend Reversal / Trap at the level Bearish Robbers / Traders gain the strength. Be safe and be careful and Be rich.
Entry : Can be taken Anywhere, What I suggest you to Place Buy Limit Orders in 15mins Timeframe Recent / Nearest Swing Low
Stop Loss 🛑 : Recent Swing Low using 2h timeframe
Attention for Scalpers : If you've got a lot of money you can get out right away otherwise you can join with a swing trade robbers and continue the heist plan, Use Trailing SL to protect our money 💰.
Warning : Fundamental Analysis news 📰 🗞️ comes against our robbery plan. our plan will be ruined smash the Stop Loss. Don't Enter the market at the news update.
Loot and escape on the target 🎯 Swing Traders Plz Book the partial sum of money and wait for next breakout of dynamic level / Order block, Once it is cleared we can continue our heist plan to next new target.
Support our Robbery plan we can easily make money & take money 💰💵 Follow, Like & Share with your friends and Lovers. Make our Robbery Team Very Strong Join Ur hands with US. Loot Everything in this market everyday make money easily with Thief Trading Style.
Stay tuned with me and see you again with another Heist Plan..... 🫂
NIKKEI 225 INDEX: Breaks Out! TP1 Done – Higher Targets AwaitNIKKEI 225 INDEX Analysis:
The Nikkei Index shows promising bullish momentum on the 15-minute timeframe, with the first target (TP1) successfully reached using the Risological Swing Trading Indicator. This long trade setup suggests a potential continuation towards higher targets as buying pressure remains strong.
Key Trade Details:
Entry Level: 38,384.25
Target Levels:
TP1: 38,544.16 (Achieved ✅)
TP2: 38,802.91
TP3: 39,061.66
TP4: 39,221.57
Stop Loss: 38,254.88
Market Insight:
The Nikkei’s breakout reflects positive sentiment in the Japanese equity market, likely influenced by global economic factors and investor optimism. This upward movement aligns with a strengthening technical trend, supporting the possibility of reaching the remaining targets if the bullish momentum sustains.
Summary:
With TP1 already hit, traders eye the remaining targets. A tight stop loss below the recent breakout level offers protection while allowing for gains as the trade progresses towards TP2 and beyond.
Japanese Equities Rebound Post Election ShocksJapan’s October 28 elections delivered a surprise to the market with the ruling Liberal Democratic Party (LDP)’s loss of the majority in the parliament. Prime Minister Shigeru Ishiba now faces the challenge of securing a majority in the 465-member Diet, Japan’s national legislature, in the coming weeks.
This political uncertainty has impacted the outlook for Japanese equities. Typically, such instability would weaken the equity market; however, a combination of a depreciating Yen and a "buy the news" rebound after two weeks of decline has led to a market recovery, with the Nikkei-225 rising 3.7% since the election results were announced.
This environment presents tactical opportunities for savvy investors, such as leveraging spreads between the concentrated large-cap stocks in the Nikkei-225 and the broader Japanese equity market through the AMEX:DFJ ETF.
Political Uncertainty a Concern for the Nikkei-225
Japan's October 28 election resulted in no party securing a majority, with the LDP and Komeito losing 64 seats, leading to a hung parliament. This uncertainty has raised concerns over the Nikkei-225, as the lack of a stable government could hinder decisive economic policy.
Historically, political instability tends to undermine investor confidence in Japanese equities, and analysts are now concerned about the ability of a weakened government to implement coherent economic policy.
Following the result, the Yen dropped to a three-month low of 153.88 per dollar, reflecting investor nervousness.
The Nikkei-225 rallied 3.7%, driven by a weaker Yen benefiting exporters like Toyota and Nissan. Analysts expect continued market volatility until a stable coalition is formed, with specific concerns around delayed fiscal measures and economic reforms that could weigh on investor confidence.
PM Ishiba’s Hawkish Tone Likely to be Tempered Even in Case of Victory
Shigeru Ishiba, recently appointed as Prime Minister, has expressed his intention to remain in office, despite facing a challenging re-election campaign after the disappointing outcome of his snap election. Analysts like David Roche from Quantum Strategy and Masahika Loo from State Street suggest his re-election prospects are slim.
PM Ishiba has historically supported the Bank of Japan's rate hike strategy and voiced concerns over yen depreciation. However, in light of the election results, his party may need to adopt a more populist stance to retain support, embracing dovish monetary policies and increased social spending.
Additionally, PM Ishiba has pledged to introduce a larger stimulus plan in response to the election outcome. This expanded stimulus could conflict with the BoJ’s monetary policy goals, likely prolonging yen weakness.
Weaker Yen Supports Nikkei-225
The weaker yen has been a key driver in Nikkei-225's recent stellar performance. A depreciating yen makes Japanese exports more competitive, directly benefiting major exporters such as Toyota and Nissan, which saw gains of over 4% on 28/Oct (Mon).
Mint Finance previously highlighted the inverse relationship between the Yen and the Nikkei-225.
Recently, however, this correlation has broken, with both the Nikkei-225 and the Yen declining over the past two weeks. Although post-election performance has brought a modest recovery in this relationship, fundamental concerns persist. With the Bank of Japan holding rates steady, the Yen is expected to weaken further. The outlook for the Nikkei-225 is less clear, as it benefits from a weaker Yen yet faces pressures from ongoing political uncertainty.
Key Technical Levels
Nikkei-225 is trading just above its long-term moving averages which have acted as support after being tested multiple times over the past few months. With the Nikkei-225 in a rising channel and above a support level, price may have some upside. However, the R1 pivot level at 40,525 may act as resistance as it previously has.
Nikkei-225 is currently in a price range dominated by buyers over the past month. Overall volume activity shows buyers have remained dominant according to the accumulation/distribution indicator. In case Nikkei-225 breaks out from this range, it is likely to see increased selling. This could lead to a period of consolidation at present levels, especially given the political uncertainty.
Hypothetical Trade Setup
Tailwinds from the weakening Yen intertwine with headwinds from the political uncertainty for Nikkei-225. Until clarity on economic outlook arises, the Nikkei-225 is likely to remain volatile. Due to the recent diverging performance, the effectiveness of a Yen hedge on the Nikkei-225 has decreased. While the Yen may continue to weaken, it is not likely to have a proportional impact on strengthening the Nikkei-225.
However, a weakening Yen also favours large cap stocks that comprise the Nikkei-225 relative to smaller companies such as those comprising the WisdomTree Japan Smallcap Fund ETF (DFJ), which provides broad exposure to Japan equities. DFJ is geared towards small cap firms and excludes the 300 largest companies by market cap. It also caps the maximum weightage of any single sector to 25% ensuring that the index is not impacted by any single sector.
By comparison, the Nikkei-225 index is a price weighted index which tilts its exposure towards expensive stocks, especially those from large companies. It also provides exposure to the technology sector in Japan which has outperformed recently due to the burgeoning chip industry. Mint Finance covered the breakdown of the index in a previous paper .
The spread between the Nikkei-225 and DFJ ETF has continued to rise over the past two years alongside the Japanese equity rally, though there have been periods of consolidation in between which small caps have managed to to catch up. The peaks in the ratio have been at times when the Nikkei-225 reached a new all-time-high while periods of consolidation following the peak have favoured the small cap equities.
This view benefits investors in case the Nikkei-225 retests its all-time-high in the near future. It also benefits from the fundamental drivers that favour the firms comprising the Nikkei-225 compared to the ETF.
Investors can express a view by buiding a long position in Nikkei-225 using CME Group futures and a short position in DFJ ETF. Nikkei-225 Futures on CME are available in a dollar denominated form, which negates currency impact from the weakening Yen.
For example, a long position in CME Group Nikkei-225 futures provides exposure to a notional value of USD 197,900 (USD 5 x 39,580 index price as of 30/Oct). This would require an extremely large position on the ETF leg to balance out the notional. Alternatively, investors can utilize the newly launched Micro Nikkei (USD) futures which are 1/10th the size of the standard Nikkei 225 futures contract with a notional value of USD 19,790 (USD 0.5 x 39,580).
Micro Nikkei (USD) futures are geared towards smaller notional sizes which allows for granular hedging and spreads as well as enhanced capital efficiency.
Since their launch on October 28, the contracts have experienced rapid growth and adoption. Over the past two days, 1,370 Micro Nikkei (USD) contracts and 4,141 Micro Nikkei (JPY) contracts have been traded. The contracts also shows a tight bid-ask spread and a liquid market, supporting capital-efficient trading.
The following hypothetical trade setup consists of long 1 x Micro Nikkei (USD) futures expiring in December and short 265 shares of WisdomTree Japan SmallCap Fund with a reward to risk ratio of 1.33x.
MARKET DATA
CME Real-time Market Data helps identify trading set-ups and express market views better. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs tradingview.com/cme .
DISCLAIMER
This case study is for educational purposes only and does not constitute investment recommendations or advice. Nor are they used to promote any specific products, or services.
Trading or investment ideas cited here are for illustration only, as an integral part of a case study to demonstrate the fundamental concepts in risk management or trading under the market scenarios being discussed. Please read the FULL DISCLAIMER the link to which is provided in our profile description.
NIKKEI 225 Falls Hard! Short Trade Hits All TargetsThe Nikkei 225 has displayed strong bearish momentum after the short entry at 39921.50, with the price moving through multiple profit targets.
Key Levels
Entry: 39921.50 – The short position was initiated as the price broke below this level, confirming bearish pressure.
Stop-Loss (SL): 40104.00 – Positioned above recent resistance to safeguard against potential reversals.
Take Profit 1 (TP1): 39695.93 – The first target was reached, confirming the initial strength of the downtrend.
Take Profit 2 (TP2): 39330.93 – Further selling pressure led to this level being hit.
Take Profit 3 (TP3): 38965.93 – The downward trend continued, achieving this target.
Take Profit 4 (TP4): 38740.36 – The ultimate target, indicating a significant bearish move.
Trend Analysis
The price is firmly below the Risological Dotted trendline, affirming the strength of the bearish trend. The continuous downward movement highlights strong selling momentum, suggesting that bears remain in control.
The short trade on the Nikkei 225 has progressed well, with all targets reached. The final target at 38740.36 underscores a strong decline, supported by the Risological Dotted trendline and consistent selling pressure.
JP225 / NIKKEI 225 Cash Index Market Money Heist PlanHola! My Dear Robbers / Money Makers & Losers, 🤑 💰
This is our master plan to Heist JP225 / NIKKEI 225 Cash Index Market based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned in the chart focus on Long entry. Our target is Red Zone that is High risk Dangerous level, market is overbought / Consolidation / Trend Reversal / Trap at the level Bearish Robbers / Traders gain the strength. Be safe and be careful and Be rich.
Entry : Can be taken Anywhere, What I suggest you to Place Buy Limit Orders in 15mins Timeframe Recent / Nearest Swing Low
Stop Loss 🛑 : Recent Swing Low using 2h timeframe
Attention for Scalpers : If you've got a lot of money you can get out right away otherwise you can join with a swing trade robbers and continue the heist plan, Use Trailing SL to protect our money 💰.
Warning : Fundamental Analysis news 📰 🗞️ comes against our robbery plan. our plan will be ruined smash the Stop Loss. Don't Enter the market at the news update.
Loot and escape on the target 🎯 Swing Traders Plz Book the partial sum of money and wait for next breakout of dynamic level / Order block, Once it is cleared we can continue our heist plan to next new target.
Support our Robbery plan we can easily make money & take money 💰💵 Follow, Like & Share with your friends and Lovers. Make our Robbery Team Very Strong Join Ur hands with US. Loot Everything in this market everyday make money easily with Thief Trading Style.
Stay tuned with me and see you again with another Heist Plan..... 🫂
JP225 / NIKKEI INDEX 225 Money Heist Plan On Long SideMy Dear Robbers / Traders,
This is our master plan to Heist JAPAN 225 Market based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned in the chart focus on Long entry. Our target is Red Zone that is High risk Dangerous level, market is overbought / Consolidation / Trend Reversal at the level Bearish Robbers / Traders gain the strength. Be safe and be careful and Be rich.
Note: If you've got a lot of money you can get out right away otherwise you can join with a swing trade robbers and continue the heist plan, Use Trailing SL to protect our money.
Entry : Can be taken Anywhere, What I suggest you to Place Buy Limit Orders in 15mins Timeframe Recent Swing Low
Stop Loss : Recent Swing Low using 1h timeframe
Warning : Fundamental Analysis comes against our robbery plan. our plan will be ruined smash the Stop Loss. Don't Enter the market at the news update.
Loot and escape on the target 🎯 Swing Traders Plz Book the partial sum of money and wait for next breakout of dynamic level / Order block, Once it is cleared we can continue our heist plan to next new target.
Support our Robbery plan we can easily make money & take money 💰💵 Follow, Like & Share with your friends and Lovers. Make our Robbery Team Very Strong Join Ur hands with US. Loot Everything in this market everyday make money easily with Thief Trading Style
The Nikkei snaps a 6-day losing steakNikkei futures found some stability on Monday around the May high, before going on to snap a 6-day losing streak. The daily RSI (2) was oversold to further suggest mean reversion could be due. And with Wall Street showing signs of stability ahead of tech earnings, we suspect a bounce could be due.
The 1-hour chart shows the 14-period RSI spent some time in oversold before a 2-bar bullish reversal triggered a rebound at a key support zone. Bulls could seek dips within Monday's range on the assumption of a break above 40,000, with a minimum upside target of 40,500 in mind.
If sentiment improves from here, perhaps a move to 41k could be on the cards near the June VPOC and gap resistance.
Nikkei, bias to look for short...BUTHello fellow traders , my regular and new friends!
Welcome and thanks for dropping by my post.
Bias to look for short on Nikkei, but let's see how, the price action seems choppy lately..
Do check out my recorded video (in trading ideas) for the week to have more explanation in place.
Do Like and Boost if you have learnt something and enjoyed the content, thank you!
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Disclaimers:
The analysis shared through this channel are purely for educational and entertainment purposes only. They are by no means professional advice for individual/s to enter trades for investment or trading purposes.
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Correlation between indices is likely. (bullish idea)Dear analysts and traders,
I trust this message finds you in good health and high spirits as you prepare to approach the upcoming week with renewed vigor. I extend my best wishes for continued success in all your business pursuits. It is essential to emphasize that sustained success in business hinges significantly on the consistent establishment and adherence to your principles.
As an advocate of the Elliott Wave principle, I regard this methodology as a valuable instrument for market analysis. Over the past three years, I have honed my approach by amalgamating this principle with a meticulous evaluation of diverse market scenarios. I strive to mitigate market uncertainties by upholding a broad spectrum of market perspectives, enabling me to discern market structures with utmost precision.
I am pleased to share my analysis with you, with the disclaimer that I do not offer buy or sell recommendations. My perspective on analytical ideas remains entirely impartial, and if my analysis aligns with your standards, it can serve as a compass for informed decision-making.
I have enclosed my prior analysis of the same market for your perusal and comparison. All aspects of my analysis are clearly delineated for clarity. Nevertheless, familiarity with the Elliott Wave principle theory facilitates comprehension of the analytical concept. I apologize for the repetitive nature of the text, as my week is occupied with formulating analytical and educational ideas, as well as engaging in trading activities and managing my social networks. Due to time constraints, I am unable to provide textual explanations for every idea, hence the inclusion of a separate text alongside the labeling. Should the text be unclear, I am available to elucidate the key points.
My rigorous study of the Elliott Wave Principle spanned nearly three years, during which my grasp and utilization of this invaluable tool evolved. My progress thus far stands as a tribute to the legacy of Ralph Nelson Elliott, whose brilliance underpins my accomplishments. May he rest in peace.
I am grateful for your unwavering support and benevolence, and I eagerly anticipate your feedback and constructive criticism.
May my analysis serve as a valuable asset in your business endeavors, and I remain yours sincerely,
Mr. Nobody
Bearish market scenario: corrective pattern with a bigger wave (double zigzag and triple zigzag)
A simple zigzag pattern became probable for the fourth waveEsteemed analysts and traders,
I hope this correspondence finds you in good health and high spirits, prepared to tackle the upcoming week with renewed energy. I extend my best wishes for your continued success in all your business endeavors. It is worth noting that success in trading is largely dependent on the consistent definition and adherence to one's own rules.
As a supporter of the Elliott Wave Principle, I consider this methodology an invaluable tool for market analysis. After three years of personal experience, I have developed my approach by combining this principle with meticulous consideration of different market scenarios. I strive to avoid market surprises by maintaining a range of market prospects, which enables me to recognize the market structure forming with 100% accuracy.
I am pleased to share my analysis with you, with the caveat that I do not provide buy or sell signals. My perspective on idea analysis is entirely impartial, and if my analysis meets your standards, it may serve as a guide to making an informed decision.
For your reference and comparison, I have attached my previous analysis of the same market. All the details of my analysis are clearly labeled for ease of comprehension. Nonetheless, familiarity with the Elliott Wave Principle theory would facilitate an understanding of the analytical idea.
My study of the Elliott Wave Principle took nearly three years, during which my understanding and experience with this invaluable tool have grown. My progress thus far is a testament to the legacy of Ralph Nelson Eliot, whose genius has provided the foundation for my achievements. May he rest in peace.
I express my gratitude for your continued support and kindness, and welcome your comments and critiques.
May my analysis be a valuable asset to your business journey, and I remain sincerely yours,
Mr. Nobody
The bearish scenario of any corrective pattern and trend continuation
Three corrective waves! Or one wave higher then correctionEsteemed analysts and traders,
I hope this correspondence finds you in good health and high spirits, prepared to tackle the upcoming week with renewed energy. I extend my best wishes for your continued success in all your business endeavors. It is worth noting that success in trading is largely dependent on the consistent definition and adherence to one's own rules.
As a supporter of the Elliott Wave Principle, I consider this methodology an invaluable tool for market analysis. After three years of personal experience, I have developed my approach by combining this principle with meticulous consideration of different market scenarios. I strive to avoid market surprises by maintaining a range of market prospects, which enables me to recognize the market structure forming with 100% accuracy.
I am pleased to share my analysis with you, with the caveat that I do not provide buy or sell signals. My perspective on idea analysis is entirely impartial, and if my analysis meets your standards, it may serve as a guide to making an informed decision.
For your reference and comparison, I have attached my previous analysis of the same market. All the details of my analysis are clearly labeled for ease of comprehension. Nonetheless, familiarity with the Elliott Wave Principle theory would facilitate an understanding of the analytical idea.
My study of the Elliott Wave Principle took nearly three years, during which my understanding and experience with this invaluable tool have grown. My progress thus far is a testament to the legacy of Ralph Nelson Eliot, whose genius has provided the foundation for my achievements. May he rest in peace.
I express my gratitude for your continued support and kindness, and welcome your comments and critiques.
May my analysis be a valuable asset to your business journey, and I remain sincerely yours,
Mr. Nobody
Nikkei 225 in weekly outlookDear analysts and traders,
I hope you are doing well and are motivated for the week ahead. I wish you all the success in your business endeavors. Remember that success in trading lies in consistently defining and sticking to your rules.
As someone interested in the Elliott Wave Principle, I find it to be an invaluable tool for market analysis. I have developed my approach by combining this principle with my personal experience and by considering different scenarios that are likely to occur in the market. It should be noted that I do not like to be surprised in the market, and that's why I have different market prospects. I follow them to be sure and recognize the structure that is forming so that I can 100% recognize it.
I will share my analysis with you, but please note that I am not providing any buy or sell signals. My perspective on idea analysis is completely unbiased, so if the idea analysis meets your standards, you can use it as a guide to make an informed decision.
I have attached my previous analysis of the same market so that you can compare and see the differences. All the details of my analysis are clearly labeled, making it easy for you to understand. However, having a basic familiarity with the Elliott Wave Principle theory will help you understand the analytical idea more easily.
I have been studying the Elliott Wave Principle for almost three years now, and over time, my understanding of this knowledge and experience has grown. What I have achieved so far is the legacy of a genius called Ralph Nelson Eliot, and I am really happy with my progress. May peace be upon him.
Thank you for your support so far. I will always remember your kindness. Please share your comments and criticisms with me.
I hope my analysis will be useful to you in your business journey, and I wish you all the best.
Sincerely,
Mr. Nobody
Five waves! Is the 5th wave extended?Dear analysts and traders,
I hope you are doing well and are motivated for the week ahead. I wish you all the success in your business endeavors. Remember that success in trading lies in consistently defining and sticking to your rules.
As someone interested in the Elliott Wave Principle, I find it to be an invaluable tool for market analysis. I have developed my approach by combining this principle with my personal experience and by considering different scenarios that are likely to occur in the market. It should be noted that I do not like to be surprised in the market, and that's why I have different market prospects. I follow them to be sure and recognize the structure that is forming so that I can 100% recognize it.
I will share my analysis with you, but please note that I am not providing any buy or sell signals. My perspective on idea analysis is completely unbiased, so if the idea analysis meets your standards, you can use it as a guide to make an informed decision.
I have attached my previous analysis of the same market so that you can compare and see the differences. All the details of my analysis are clearly labeled, making it easy for you to understand. However, having a basic familiarity with the Elliott Wave Principle theory will help you understand the analytical idea more easily.
I have been studying the Elliott Wave Principle for almost three years now, and over time, my understanding of this knowledge and experience has grown. What I have achieved so far is the legacy of a genius called Ralph Nelson Eliot, and I am really happy with my progress. May peace be upon him.
Thank you for your support so far. I will always remember your kindness. Please share your comments and criticisms with me.
I hope my analysis will be useful to you in your business journey, and I wish you all the best.
Sincerely,
Mr. Nobody
Japanese Equities Remain Compelling Despite Record Crushing RiseAnimal spirits are palpable in the Land of Rising Sun. Nikkei-225 smashed through it previous all-time-high set more than 40 years ago. Japanese equity markets have turned steaming hot over the past year after stagnation through lost decades.
Strong foreign investment inflows, positive impact from the corporate governance reforms, portfolio rebalancing away from China, and low valuations, are collectively serving as robust tailwinds for the Japan equity market.
Yet risks remain from an early BoJ policy pivot, high inflation eroding spending power, and limited domestic capital investment.
This paper delves into factors driving record rally of Nikkei-225 index, its outlook, and posits a hypothetical trade to benefit from its continued ascent.
WIDE RANGING REFORMS IN PLAY TO BOOST MARKETS. IS IT WORKING?
In 2022, the Tokyo Stock Exchange (“TSE”) embarked on market restructuring plan with the creation of new market segments.
Source: Tokyo Stock Exchange
TSE rolled out a raft of corporate governance reforms in March 2023. It summarized key initiatives that investors aspire to see into fruition, namely (a) Weigh the cost of capital from investors perspective, (b), Report profitability and valuation metrics from multiple perspectives, and (c) Allocate resources to improve corporate value.
Reforms aim to boost capital efficiency by utilizing excess cash reserves held by Japanese firms. Price-to-book ratio (“PBR”) is a key metric in TSE’s cross hairs. As of 31/Dec , more than half the firms that have submitted disclosures have a PBR of less than one. PBR less than one suggests that a firm’s dissolution value is greater than its market cap.
Data Source: TSE
Even among some of the largest firms in the country, PBR is less than 1.
Data Source: TV Stock Screener
A TSE Review shows that firms are allocating additional resources towards growth initiatives. It suggested share buybacks and dividends were effective means for improving profitability.
Impact of the reforms are visible in many ways. Higher shareholder returns (through dividends and buybacks) are already manifest across many firms.
Still, there is a long way to go. Disclosures and reforms are not widespread yet. As smaller firms join, capital investment could spread wider.
Data Source: TV Stock Screener
Also, while dividend growth is high, capex growth remains low. A focus on investor returns improves stock valuations in the near term. However, a larger push towards long-term capital investments will be required for long-term sustained growth.
Capital spending by firms surged 16.4% YoY in Q4.
Japan’s Prime Minister Fumio Kishida is pushing for its citizens to invest in domestic firms rather than save. He has re-launched the NISA tax-free investment programme. It provides extended tax-exemption periods and higher annual investment limits. The scheme, if successful, could channel large chunks of new capital into Japanese equities.
Domestic participation remains low for now. Japanese investors prefer foreign stocks over domestic ones as per a Morningstar study .
VIBRANT FOREIGN INFLOWS IN JAPANESE EQUITIES
While domestic investors are yet to embrace its domestic markets, foreigners are leading the charge. US investors have poured USD 8.3B into Japan focused ETFs ( AMEX:EWJ , AMEX:BBJP , and AMEX:DXJ ) since 2023.
JAPANESE EQUITIES REMAIN UNDERVALUED
Japanese equities remain under-valued. Warren Buffet famously invested USD 6 billion during the pandemic in Japanese trading giants citing that he was offered a “ridiculous price”.
Despite the recent market surge, P/E for stocks in the Nikkei-225 stands at mere 20.8x. Comparatively, stocks in the S&P 500 have an average P/E of 34.9x.
Data Source: TV Stock Screener
Nikkei-225 valuations are even more attractive when adjusted for growth. Average (excl. outliers) TTM PEG ratio for Nikkei-225 firms is 1.3x while for the S&P 500 its 2.5x.
Data Source: TV Stock Screener
Low profit growth remains a concern for Japanese firms. According to the Japan Ministry of Finance figures , ordinary profits rose by 13% YoY in Q4 2023, while high, that’s slower than 21% during Q3 2023.
JAPAN IS ALSO AN AI BENEFICIARY
Tokyo Electron, Renesas, and Advantest, constituents within the Nikkei-225 index have emerged as AI rush beneficiaries. Specifically, Tokyo Electron has surged more than 58% YTD. Softbank is another top performer thanks to its investment in $ARM.
Heatmap of Nikkei-225 with key firms that comprise a large weightage in the index highlighted in blue.
Nikkei-225 is a price-weighted index. Tokyo Electron commands the second largest weight in the index at 9.4% due to its high price. Advantest is third with 4.7%. Softbank ranks fourth with 4.45%. Therefore, a sustained AI fuelled market rally is likely to positively impacting the index.
Not just the chip stocks, the Nikkei rally has been top-heavy due to outperformance of other large stocks too. Fast Retailing (the top weight in the index) is also supported by strong tailwinds and solid financial performance which has clocked a 26% rise YTD (versus 19% jump in the index).
If outperformance among the large Japanese firms continue, the Nikkei will continue to race at a fast pace.
NIKKEI IS STARTING TO FACE HEADWINDS
Despite impressive performance and bright outlook, cause for concerns exist in the near term. Rising concerns that the BoJ may exit its loose monetary policy sooner than previously expected could snap the rally.
Inflation has started to rebound. Wage growth estimates are solid. Revised figures for capital spending are expected to show that the economy avoided a technical recession in Q4.
The benchmark index is starting to face resistance. An earlier than expected BoJ pivot could put brakes on this rally.
Some market participants expect the BoJ policy pivot as soon as the 19/March policy meeting. Most expect the pivot to occur at the 26/April meeting. A consensus on the exact meeting has not been reached among BoJ officials according to Bloomberg .
HYPOTHETICAL TRADE SETUP
Nikkei is benefiting from strong tailwinds. It also faces the risk of a near-term correction, particularly from anticipated strengthening of the Yen.
A hypothetical long position in the Yen denominated CME Nikkei-225 index futures with an entry upon near term correction is posited for a superior reward-to-risk ratio.
The following hypothetical trade setup comprising of a long position in the Nikkei-225 Yen Denominated futures expiring in June (NIYM2024) benefits in case the Nikkei-225 rises.
As the payout from the position is denominated in Yen, a strengthening of the Yen will serve as an additional boost to the dollar P&L.
• Entry: 37,900
• Target: 41,690
• Stop Loss: 35,000
• Profit at Target: ¥1,895,000 ( (41690 – 37900) x 500 Yen/index point)
• Loss at Stop: -¥1,450,000 ( (35000 – 37900) x 500 Yen/index point)
• Reward-to-Risk Ratio: 1.3x
MARKET DATA
CME Real-time Market Data helps identify trading set-ups and express market views better. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
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Trading or investment ideas cited here are for illustration only, as an integral part of a case study to demonstrate the fundamental concepts in risk management or trading under the market scenarios being discussed. Please read the FULL DISCLAIMER the link to which is provided in our profile description.
The continuation of the upward trend is more likely.Dear Friends,
I hope this message finds you well and that you're having a great start to the week. I wish you success in your business endeavors.
As someone interested in the Elliott Wave principle, I find it a valuable tool for analyzing the market. I have developed my approach by combining this principle with my personal experience and by considering various scenarios that are likely to occur in the market.
I am sharing my analysis with you, but please note that I am not providing any buy or sell signals. I aim to share my unbiased analysis with you so that you can use it as a guide to make informed decisions.
In the attachment, you will find my previous analysis of the same market, so you can compare and see the differences. All the details of my analysis are clearly labeled, making it easy for you to understand (although having a basic familiarity with the Elliott Wave Principle theory will help you understand the analytical idea more easily).
I have been studying the Elliott Wave principle for almost three years now. With time, my understanding of this knowledge and experience has increased. What I have achieved so far is a legacy of a genius named Ralph Nelson Elliott, and I am truly satisfied with my progress. May his soul rest in peace and his memory be cherished.
Thank you for your support so far. I am grateful and will always remember your kindness. Please feel free to share your thoughts and feedback with me.
I hope my analysis will be useful to you in your business journey, and I wish you all the best.
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Nikkei to find buyers at market?NIK225 - 24h expiry
Although the bears are in control, the stalling negative momentum indicates a turnaround is possible.
A Doji style candle has been posted from the base.
Price action looks to be forming a bottom.
The primary trend remains bullish.
We look to buy dips.
We look to Buy at 35980 (stop at 35760)
Our profit targets will be 36530 and 36630
Resistance: 37020 / 37940 / 38415
Support: 35730 / 35045 / 34565
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
Nikkei to continue in the upward move?NIK225 - 24h expiry
Although the bears are in control, the stalling negative momentum indicates a turnaround is possible.
Price action looks to be forming a bottom.
The primary trend remains bullish.
We look to buy dips.
Weekly pivot is at 35980.
We look to Buy at 35925 (stop at 35685)
Our profit targets will be 36525 and 36655
Resistance: 37020 / 37940 / 38415
Support: 35730 / 35045 / 34565
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
Diagonal for the fifth wave?? or the extension of the market treHello there,
I hope you're having a great start to the new year. I wish you all the best in your trading ventures and a happy new year with your loved ones.
I'm a fan of the Elliott wave principle, which I find interesting and useful for market analysis. I've developed my analytical approach by combining this principle with my personal experience and considering various scenarios that are likely to occur in the market.
Although I'm going to share my analysis with you, please note that I won't be providing a buy or sell signal. My goal is to share my unbiased analysis so that you can use it as a guide to make an informed decision.
To give you confidence in my analysis, I'll always share my previous analysis from the same market so that you can compare. All the details of my analysis are clearly labeled, making it easy for you to understand.
I hope my analysis will be useful to you in your business journey, and I wish you the best.
I'm waiting to hear from you. Finally, I'd like to remind you that like-mindedness and support, comments, and likes are the most important pillars of progress, like support points in the financial markets. They give me the energy to continue and share more ideas with you.
Sincerely,
Nikkei 225 Trade Idea for 20thDec2023 Super BullishNIKKEI 225 trade idea for 20/12/2023.
Major catalyst BOJ is out of the way now, Nikkei shows super bullish continuation from the monster move today. Text book bull flag break out just after the close to 500 points move after BoJ press conference. Price consolidated after that and shows another bull flag in the after hours trading.
Plan for 20/12/2023
Entry: Ideally pull back at the open at bull flag base -33353 or at 33227 - yesterday's VWAP
Targets: 33632, 33681, 33808 and 34030
Support: 33227,33096
Happy trading, feedback welcome to improve my analysis. Thanks for reading
Expanded diagonal?? The fifth wave will expandHello!
I am a big fan of the Elliott wave principle, which I find very interesting and useful for market analysis. I have developed my analytical approach by combining this principle with my personal experience and considering various scenarios that could occur in the market.
While I would like to share my analysis with you, please note that I am not providing a buy or sell signal. My primary intention is to share my unbiased analysis so that you can utilize it as a guide to make an informed decision.
To build your confidence in my analysis, I always share my previous analysis from the same market so that you can compare and see the progress. All the details of my analysis are clearly labeled, which should make it easy for you to understand.
I hope that my analysis is useful to you in your business journey, and I wish you all the best.
I am looking forward to hearing from you. Lastly, I would like to mention that like-mindedness and support, comments, and likes are the most important pillars of progress, just like support points in the financial markets. They give me the energy to continue and share more ideas with you.
Sincerely