Japan 225 (NIKKEI 225) Buyers Head for the Exit

The Japan 225 market has plummeted sharply following reports that the U.S. president threatened to impose a 100% tariff on Chinese goods. Several other markets have also felt the impact of this development as prices tumble across the board. In a more detailed manner, let’s take a closer look at the price behavior below.

Key Levels

Resistance: 46,000, 47,500, 48,000

Support: 45,000, 44,000, 43,000

NIKKEI Bears Have a Cracker

The Japan 225 market edged strongly downward toward the close of the week, as reflected by the last price candle on the chart. At this point, the price of the futures contract lies a notable distance below the 9-day Exponential Moving Average (EMA) line.

Similarly, the Stochastic Relative Strength Index (SRSI) indicator lines are diving toward the oversold region, suggesting that bearish momentum remains dominant. Technically, this indicates that further dips may still be on the way in this market.

Japan 225 Bearish Sentiment Continues to Prevail

The NIKKEI 225 has remained predominantly bearish for eight consecutive sessions, pushing prices even further below the 9-day EMA curve. Meanwhile, the SRSI indicator lines continue to move sideways in the oversold region, reflecting sustained downward pressure.

The last two price candles on the chart appear bald, a sign of continued selling activity and minimal bullish presence—indicating a market in free fall. Unless a reversal pattern emerges soon, the market may continue its decline toward the 44,500 price level.

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