I am favouring a short position at around the 15270 level, which i would expect it reach by then end of the week or early next week. The index hasn't yet responded to the consumption tax increase and is still enjoying the favourable manufacturing data out of the US yesterday.
Friends,
Predictive analysis and forecasting defined three potential bearish targets, namely:
1 - TG-1 = 13755 - 21 MAR 2014, moderate probability
2 - TG-2 = 13412 - 21 MAR 2014, moderate probability
and
3 - TG-Lo = 12968 - 221 MAR 2014, low probability
This trader's directional bias is bearish, whereas the predictive analysis and forecasting system just...
It looks like it is the end of this wonderfull bull market in Japan, started by the Abenomics. The fundamentalist that I closely watch see's Japan as the weakest market in G7, so this confirmes my bearish technical bias.
Starting with the weekly, things are pretty simple. A nice class A bearish divergence has allready decreased the Nikkei a lot, but I believe...
goo.gl Why I believe Bloomberg, MarketWatch and others have it all wrong.
Nikkei 225 has not officially entered correction! Japan's index may simply be resuming its 20-year downtrend found at the monthly chart.
What do you think?
Base on my analysis about S&P500. If I bet on the bearish trend of S&P500, the result of Nikkei225 is act in the same way because Nikkei225 and S&P500 has a strong correlation.
Moreover, look at on the chart, there are lot of signals for sell of Nikkei225 now. all main indicators also show the same result: Strong divergence occurs.
Thus, I believe Nikkei225 will...
Price is oscillating within PRZ after bearish shark completion. RSI crossed 70 level from above and is heading down. I guess we can see some price downswing.
The Yen and the Nikkei have been moving together for many months now. Actually the Yen has been leading the major price moves by a few trading days. The correlation can be seen in the symmetrical triangle that began back in May. Notice how the Yen tops and bottoms before the Nikkei. These moves are most obvious in points A, C, and D.
Currently the Yen is...
Since Nikkei 225 has 0.94 correlation with SPY i found the analysis interesting in order to get more insight on next plays on S&P 500.
Without any doubt the Japanese index is consolidating since its may top this year. This will ultimately lead to 2 scenarios:
1- NIKKEI is in a descending triangle pattern formation, prices will test support of this triangle,...
Index have entered the resistance zone from the sell-off that printed the year highs while testing a fib level. I see a high probability of a down movement.
Let's see...
