Today at a glance: with a daily low of 27,073, the Nikkei closed today at 27,250, after ending yesterday at 26,975 and gaining 275.38 points (1.02%).
The iShares U.S. Treasury Bond ETF has gone up 0.86% to trade at $22.36, thereby indicating that government bond yields were downbeat across the yield curve.
At the same time, Japan Services PMI released yesterday at 00:30 UTC with a figure of 53, while the previous figure was 52.2.
Bollinger Band® analysis indicates that current price action is approaching the upper band at 27,600, thereby suggesting that Nikkei is becoming overvalued. The Nikkei price action is currently oscillating around the 27,200 resistance level with prices moving above and below several times during the session. Despite this, the Nikkei made an initial breakout above its 200 day Simple Moving Average at 27,100, a potential indicator of a newly emerging bullish phase.
Technical analysis suggests there could be an imminent reversal for the Nikkei.
The Nikkei shows positive signs, other assets are also on par: CAC leaps up 1.94% today and closed at 6,131.36. Nasdaq ascends 1.91% today and closed at 10,953. EuroSTOXX went up by 1.64% today, and closed at 3,585.58.
Having set a significant high of 29,800 a month ago, the Nikkei is trading 174,834% lower.