Nikkei 225 Technical Analysis: Bulls Hold Line Above Key Prop

Nikkei 225 Technical Analysis Talking Points:

  • The Nikkei 225 continues to retreat
  • The process was halted by a modest bounce this week
  • However a key support zone is very near and will probably be revisited

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The Nikkei 225’s sharp retreat from October’s 27-year highs goes on. It has now brought the index close to what could prove a key support zone.

Current levels are about 850 points above 20,779. That is the top of a band formed between there and 2018’s low, the 20,299, hit on March 25.

Prominent Support Gets Near: Nikkei 225 Daily Chart

At present, the bulls seem to be staging something of a fightback at support which held in late October. It centers around 21,162. That was also last Monday’s daily close. Should it hold, then perhaps those bulls can use it as a platform for a new foray back towards the previous significant high, November 7’s 22,597. Right now, however, it does not look as though the index has the

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