29 Apr 2016
Nikkei risk has turned to the downside - FXStreet
The Nikkei sold off hard this Thursday, plummeting 601 points or 3.61% to close at 16,666.05, as the JPY soared on the back of BOJ's inaction during its monthly economic policy meeting. Stocks’ slide was fueled by poor local inflation, down by 0.3% in March compared to a year earlier, the first decline in five months.
Japanese bank shares suffered the most, with Nomura leading the way lower, down by 10.05% after reporting weak earnings results.
Japanese bank shares suffered the most, with Nomura leading the slide, down by 10.05% after reporting weak earnings results. The index fell further in after-hours trading, down to 16,140 as Wall Street plummet, but advanced some 100 points ahead of the daily opening.
Nikkei technical view
“According to the daily chart, the risk has turned to the downside as the index has broken below its 20 and 100 SMAs, whilst the technical indicators have turned sharply lower from near overbought levels, and particularly the RSI anticipates some further declines, heading south around 42,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the technical indicators maintain their bearish slopes within oversold territory, also pointing to additional slides for the upcoming Asian session.”
Support levels: 16,140 16,060 15,970. Resistance levels: 16,327 16,401 16,485.
Japanese bank shares suffered the most, with Nomura leading the way lower, down by 10.05% after reporting weak earnings results.
Japanese bank shares suffered the most, with Nomura leading the slide, down by 10.05% after reporting weak earnings results. The index fell further in after-hours trading, down to 16,140 as Wall Street plummet, but advanced some 100 points ahead of the daily opening.
Nikkei technical view
“According to the daily chart, the risk has turned to the downside as the index has broken below its 20 and 100 SMAs, whilst the technical indicators have turned sharply lower from near overbought levels, and particularly the RSI anticipates some further declines, heading south around 42,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the technical indicators maintain their bearish slopes within oversold territory, also pointing to additional slides for the upcoming Asian session.”
Support levels: 16,140 16,060 15,970. Resistance levels: 16,327 16,401 16,485.