The Nikkei 225 is expected to enter a phase of gauging its level this week, ahead of the U.S. midterm elections and corporate earnings announcements. The results of the U.S. elections and domestic and overseas earnings announcements could temporarily increase uncertainty over the market’s direction.
This week, the Japanese market is expected to be influenced by the outcome of the U.S. midterm elections, with the Nikkei 225 likely to experience short-term volatility. The video presents observations of daily and five-minute chart movements, and highlights the importance for investors of being aware that the market is in a phase of gauging its level.
A comparison of the performance of major U.S. stocks is presented, and the performance of overseas companies scheduled to announce earnings this week is identified as a point of focus. The earnings outlooks of companies due to report and the impact on the market are said to have the potential to affect Japanese and U.S. interest-rate trends and risk sentiment.
Earnings announcements scheduled by domestic companies are also cited as an important market factor. The video explains the relationship between the Nikkei 225’s performance, changes in forecast EPS and P/E ratios, and daily and weekly chart movements. Market attention is expected to turn toward reassessing valuation levels in response to the earnings announcements.
The video brings together points to watch during this phase, including upcoming events, comparisons of indicator movements, performance differences among major stock indexes, and deviations from long-term moving averages. Viewers are advised to follow Japanese and U.S. interest-rate trends and the results of earnings releases.