2017.01.1222:13:00UTC+00Nikkei225: Buy on Dips

Nikkei225 forms temporary bottom at 18953 and started to jump from that level.The slight decline in yen has made index to jump till 19288. It is currently trading around 19283 0.55% higher.

•USD/JPY has recovered sharply from the low of 113.75 and pair should close above 116.32 for further bullishness.It is currently trading around 114.99.

•Technically index has taken support near low made on Dec 29th 2016 low and any close below that level will drag the index down till 18818/18700.

•On the higher side, major intraday resistance is around 19285 (89- H EMA) and any break above will take the index to 19350 (200- H MA)/19412 (61.8% retracement of 19698 and 18953)/19700.

•The index immediate support is at 18930 and any break below will drag the index down 18818 (23.6%retracement of 16105 and 19653)/18700.

•The index should break below 18000 for further weakness.

It is good to buy on dips around 19220 with SL around 19090 for the TP of 19400/19695