Buy-and-Hold investing has worked pretty well when it comes to many stock indexes around the world. One place where that strategy has been disappointing is the Nikkei 225 over the past couple of decades. If one happened to buy the Nikkei in 1990, they would still be down over 50%, twenty-four years later.
The chart above highlights a resistance line that has been heavy for the Nikkei for almost two decades. The Nikkei is now making an attempt to break free from that line of resistance.
At the same time the Yen is working on breaking a support line that has been in place for almost 30 years.
Could a breakout by the Nikkei help push the S&P 500 and major European markets even higher?
Buyer beware -- One of the popular ETF's for Japan is the iShares MSCI Japan (NYSE:EWJ). Check out its resistance line, which looks a good deal different.
If you like the idea of buying breakouts or shorting breakdowns, these are markets to keep an eye on.