KOSPI, NIKKEI 225 and NIFTY 50 Forecasts – Asian Indices Continue to be Supported

KOSPI Technical Analysis

The KOSPI in South Korea continues to be one of the better performers that I watch as we are straight up in the air for over 3% in gains on Thursday, approaching the 6,300 South Korean Won level. I think we are parabolic her,e though. I would really like to see some type of pullback to take advantage of. Clearly, South Korea is absolutely crushing it right now, with massive gains in the technology sector being one of the main culprits.

NIKKEI 225 Technical Analysis

The NIKKEI 225 pulled back just a bit, but it looks like there are buyers right around the 58,800 Yen level and we have turned back around to show signs of upward pressure again. If we can break above the high from the Wednesday session, that would be a clearance of 60,000 Yen, a large round, psychologically important level, and I do think that happens given enough time, especially considering how the candlestick is forming for the Thursday session. Buying on the dips and the breakout probably both end up being the strategy here.

NIFTY 50 Technical Analysis

The NIFTY 50 in India continues to find significant support at the 25,400 Rupee level, but it’s worth noting that it has been sideways for a while. It does look like it doesn’t want to fall. That in and of itself is something worth keeping an eye on. It may be giving you a little bit of a heads up as to where India is going to eventually go.

Given enough time we could see the NIFTY 50 reach the 23,000 level on a breakdown, but I think the most likely of outcomes at this point is going to be that we bounce from here, break above the 50-day EMA and go looking to the recently tested 26,350 Rupee level, possibly breaking above there to maybe tack on another 1,000 or so Rupee to the overall price of the index based on the measured move. I don’t really have any interest in shorting India either.

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