The Nikkei 225 fell sharply, easily breaking below the psychological ¥60,000 mark. The rebound was limited, and it closed with a long bearish candlestick as the price-range correction continues.
The Nikkei 225 opened under selling pressure, extending its decline and closing below ¥60,000. The rebound has remained limited since then, suggesting that the downtrend may continue.
Among the technical indicators, the 9-day RSI fell from 36.4% to 24.2%. The fact that the index closed below the 200-day moving average and the 29 July low on the previous day has also been cited as a negative factor. The price-range correction from the October high is still continuing.
Looking ahead, a twist in the Ichimoku cloud may provide an opportunity for a technical rebound, but the 5-day moving average at ¥61,414 and the 10-day moving average at ¥62,383 are likely to act as overhead resistance. Potential upside targets include ¥59,000/¥60,000, ¥64,000 and the 29 October high of ¥64,831. Potential downside targets are ¥57,000/¥55,000, ¥54,258, ¥53,000 and ¥50,558.