The Nikkei Average is expected to trade in a range of ¥63,500 to ¥66,500 next week, with attention focused on the resilience of AI and semiconductor stocks and movements in the Ichimoku cloud.
The key point for next week is the Nikkei Average's expected range of ¥63,500 to ¥66,500. Oil prices and long-term interest rates are expected to continue influencing the market, while movements in overseas markets may provide a key indicator ahead of the release of the US jobs report. Market volatility has continued to date against a backdrop of unstable trading in AI and semiconductor-related stocks.
Technically, a twist has formed in the Nikkei Average's Ichimoku cloud, and the relationship between the cloud's upper and lower boundaries is expected to influence trading at the start of the week. If the market continues to approach the lower boundary of the cloud, rather than attempting to break through a thin cloud, attention may shift to a move toward testing the upper boundary. The resilience of AI and semiconductor stocks is seen as a potential source of support for the market next week.
Among individual factors, Kioxia Holdings' resilient performance is expected to encourage dip buying. Oil prices and long-term interest rates will remain key areas of focus next week, and investor sentiment may fluctuate depending on the results of employment-related indicators. With a holiday in the US market, there may also be periods when trading is driven primarily by futures.