• Fxwirepro:nikkei trades higher on positive global cues good to buy on dips

    Source: FxWire Pro - Technicals / 15 Sep 2019 14:41:16   Europe/London

    Nikkei jumped more than 0.5% following footsteps of Wall Street on US-China trade optimism and a new round of stimulus from ECB. The European Central Bank has cut its deposit rates by 10 bps to -0.50% and re-started asset purchase by 20 bn euros. US President Trump twitted that "I would consider interim trade deal with China". The slight easing of a trade war has decreased demand for Safe-haven assets like yen, gold. USDJPY holds above 108 level and any major jump possible above 108.25. The index hits high of 21995 and is currently trading around 21958.

     

    On the flip side, near term support is around 21680 and any violation below drag the index till 21500/21278 (200-day MA).

     

    The near term resistance is around 22000 and any break above 22280/22457. Any major trend reversal only above 22460.

     

    It is good to buy on dips around 21580-600 with SL around 21450 for the TP of 22450.

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