Samurai in shortAfter a return to Pivot it is now moving in the direction of the analysis shown. The analysis is weekly. So keep calm and relax to reach target
JP225 trade ideas
Signal - Nikkei - 1 November 21 - Sell The bigger timeframe pattern I see on this structure is a rising wedge.
Going to the smaller timeframe 1m
* I see a double top structure
* Second leg is formed by a rising channel
Going to 15m
* I see double top with the second leg bigger than the first leg
Going to 1H
* I see 1 hour retracement candlestick pattern
NIKKEI 225 - More Upsides to GoSpent a decent amount of time working on Nikkei 225, which is one of my heaviest invested markets. In my opinion, there is certainly a great amount of probability it will crash, but I really don't see it coming in a short period of time.
On one hand, The USDJPY and DXY are probably implying more upsides to go, which in my opinion, would mean a strong economic recovery, which boosts the market even higher.
Realistically, the US stock market is already expecting 3 rate hikes in the year 2022, and with that taken into account, I really cannot come up with extra bad expectations, probably only inflation. However, if there is inflation the stock market would probably climb even more due to an increase in nominal value.
Because of that, I really don't see too much upside in the short term, at least in the first half of the year 2023. I am still holding my longs and would love to add more, and certainly would stay with my cash and be cautious maybe a half year later.
NIKKEI Trading IdeaBased on Simple Technical Analysis ( Trendline + Support & Resistance )
Risk Disclaimer:
Please be advised that I am not telling anyone how to spend or invest their money. Take all of my analysis as my own opinion, as entertainment, and at your own risk. I assume no responsibility or liability for any errors or omissions in the content of this page, and they are for educational purposes only. Any action you take on the information in these analysis is strictly at your own risk. There is a very high degree of risk involved in trading. Past results are not indicative of future returns. Good luck :-)
JP225descending wedge on the 1h time frame
impulsive break to the upside
corrective continuation to the upside
More stimulus plans for Japan economyThey did it again ! Like the drug addict who got hooked to drugs, each time he took it , the next one he wants more stimulus, more drugs to satisfy himself. So , the economy works the same. With high inflation, low birth rate and the COVID pandemic, what else can the government do beside printing money? Allowing the stock market to crash is disastrous though this reset is necessary for new growth to starts.
With soaring property prices globally, how can the young ones afford to buy a unit to start a family ? Not to mention the costs of transportation, food, utilities, etc. Is wages increment matching all these inflationary costs ? I doubt so ........
Isn't what is happening in China currently with the government intervene in the costs of private tuition (read this article )
, improve housing affordability for the young people a trend that is coming strongly ?
Well, as traders and investors, this can be a good time to ride the trend and make the money!
Enjoy whilst it last
Nikkei225, Trade and trend ranges [2NOV2021]You can see in my previous plan where signal went extreme bullish.
Japan's economy is different from US. Modelling it quantitatively is also different. It is still seen as bullish by the signal at the moment, and the bullishness in the short and long term yields, I believe Nikkei will make a new ATH soon, but has a massive 3% downside potential too, so it's better not to go into margin with this one and shorting isn't a good idea either. Let's hope for a dip and see if we can get our hands dirty.
PS. Each box span a day, and the code gives short term and long term trends as shown. the trend is shown with the color of the box. The range is calculated on a daily basis.
If you want similar ranges and trends on your ticker, feel free to contact me, I will add them to my list and provide them when the signal is interesting (for free of course)
Redd
