- Nikkei 225 Index fell for second straight day on Tuesday.
- US-China trade conflict continues to weigh on global equity indexes.
After closing the first day of the week with a loss of 0.3%, the Nikkei 225 Index pushed lower on Tuesday as caution over the December 15 deadline for the US' tariff hike on Chinese imports continues to weigh on sentiment. During an interview with Fox Business on Tuesday, US Commerce Secretary Wilbur Ross noted that having a good deal for the US was more important than the tariff hike.
Reflecting the dismal mood, major European equity indexes are losing more than 1% and the S&P 500 futures are down 0.3% to suggest that Wall Street is likely to start the day in the negative territory.
Nikkei 225 Chart
Looking at the daily chart, the index seems to be making lower highs below the 23,600-23,650 area, where the 2019-top that was defined back in early November is located. On the same chart, the RSI indicator continues to move sideways a little above the 50 mark, pointing out to a neutral near-term outlook.
The initial support for the index could be seen at 23,300 (20-day MA) ahead of 23,000 (psychological level) and 22,800 (Fibonacci 23.6% retracement of September-November rally). On the upside, 23,600-23,650 is a significant hurdle before the index could target 24,000 (Sep. 25, 2018, high) and 24,480 (all-time high).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.