US equity indices are closed for the Children's Day holiday and resume Monday. Meanwhile, here is a recap of Tuesday: the Nikkei closed Tuesday at 29,158 (with a daily low of 29,083) after ending Monday at 29,123 and gaining 0.12%.
Uncertainty around the Nikkei is reflected by published market data as Japan CFTC JPY speculative net positions released yesterday at 20:30 UTC with a figure of -68,300, while the previous figure was -68,700.
Trend and momentum analysis indicates that the Commodity Channel Index (CCI) indicator is above +100, meaning the market price is unusually high compared to the rolling average. Asset volatility analysis shows that the Nikkei's upper Bollinger Band® is at 29,483, suggesting that a downward move may follow. Chart analysis suggests the Nikkei is approaching key support, around 96.74 points away from 29,061. Dipping below could indicate further losses are ahead while a failure to break below this level is likely to be seen positively by market bulls.
Notwithstanding the Nikkei's appreciation in recent days, the technical outlook suggests its bullish run is now fading.
While the Nikkei was pretty flat Tuesday, mixed performances were seen elsewhere as notably, Dow Jones rose 1.65% Tuesday and closed at 33,128. S&P 500 added 1.85% and closed around 4,061.22 Tuesday. Nasdaq added 2.25% and closed around 11,966 Tuesday.
The index has been trending positively for about 26 days. The Nikkei has recovered 188,766% since descending to a significant low of 15.42 around 7 months ago.