Nikkei 225 – Building For An Upside Breakout
Minus the spike low on July 7/8, the Nikkei 225 has remained above the key support at 20045 with the Japanese index building a higher base for the last two weeks straight.
This upside pressure in the price action suggests a pre-breakout scenario. Currently the index is testing key resistance just below 21000.
A weaker pullback from here, perhaps towards 20500, followed by another impulsive thrust higher would suggest a breakout is likely near term.
Upside the next target is 21230 and then 21625 so a fair amount of upside near term.
