9 Jan 2014
Nikkei 225 heavy, caps Yen crosses upside
FXstreet.com (Bali) - The Nikkei 225 is still aiming for a directional bias near term, fact that has led the index futures chart to enter a consolidation phase.
Technically, the lower edge of its weekly range is seen at 15,700 - daily kijun sen - , while on the upside, 16,100 offers resistance. While a break above the latter opens up 16,300 trend highs, a break through 15,700 may see losses accelerate as the top of a daily cloud is not found until 15,200.
The battle to dominate short term price action in the Nikkei 225 is likely to cause erratic swings in the Yen crosses, which continue to trade heavy for the session, as the increase in hedging activity by exporters, combined with option-related interest to protect levels above 105.00 disallows much clarity.
Technically, the lower edge of its weekly range is seen at 15,700 - daily kijun sen - , while on the upside, 16,100 offers resistance. While a break above the latter opens up 16,300 trend highs, a break through 15,700 may see losses accelerate as the top of a daily cloud is not found until 15,200.
The battle to dominate short term price action in the Nikkei 225 is likely to cause erratic swings in the Yen crosses, which continue to trade heavy for the session, as the increase in hedging activity by exporters, combined with option-related interest to protect levels above 105.00 disallows much clarity.