Pattern Formed – Cup and Handle
Major resistance- 17000
- Nikkei225 has slightly regained after making a low of 16514. It is currently trading around 16714.
- The index should break the psychological resistance 17000 for further bullishness.
- Short term trend is slightly bullish as long as resistance 16385 (55 day EMA) holds.
- Any break above 17000 will take the index to next level 17220/17500. Extreme bullishness can be seen if the index closes above 17068 (200 day MA).
- On the lower side immediate support is around 16546 (21 day MA) and any break below targets 16385 (55 day EMA)/16121/15880.
It is good to buy above 17000 with SL 16780 for the TP of 17380/17500.
