TradeCityPro | NIKKEI 225 Market Trends and Key Levels๐ Welcome to the TradeCityPro channel! Today, weโll analyze the NIKKEI 225, the stock market index for the Tokyo Stock Exchange, identifying key entry and exit points.
๐ Overview of NIKKEI 225โs 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.
๐ 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.
๐ 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.
โฑ 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.
๐ฅ Short Trigger:
Confirmed break below daily support at 37,747 , Alternatively, a rejection from the trendline could also trigger a short position.
๐ 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.
๐ 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.
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