Japan 225 (NIKKEI 225) Bounces Off the 40,000 Support

The Japan 225 market has experienced a notable upside rebound over the past week. The index has continued edging higher in subsequent sessions, and at this stage, bullish momentum appears ready to push for further gains.

Key Levels

Resistance: 43,500, 44,500, 46,000

Support: 42,000, 40,500, 39,000

NIKKEI Upside Progress Looks Strong

While the Japan 225 has posted significant gains, indicators suggest that upward momentum is likely to continue.

On the daily futures chart, the Bollinger Bands (BB) indicator maintains a steady upward slope, with its upper boundary widening to accommodate potential price increases.

Meanwhile, the Stochastic Relative Strength Index (SRSI) lines are still climbing out of the oversold region, reinforcing the technical outlook for continued upward movement.

Japan 225 Bulls Are Resisting Downward Pressure

On the NIKKEI 225 4-hour chart, the last two sessions show a consolidation phase, keeping the market firmly above the 42,000 support level. The BB indicator remains well-spread, signaling room for further gains.

However, the SRSI lines have moved deep into the overbought territory, hinting at a possible pullback. That said, the next major move will likely hinge on emerging fundamental drivers. Traders will be watching closely for catalysts that could propel the index toward 43,500 and potentially beyond.

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