While the Nikkei is above ¥64,000, analysis indicates strong selling pressure on rebounds. Following movements in the second half of October, caution is likely to intensify ahead of central-bank events.
DZH Financial Research says that levels above ¥64,000 have heavy cumulative trading value and strong selling pressure on rebounds. The rebound from the intraday low on 23 October was substantial, and the market ended on the 26th with a long lower shadow.
The market's direction from 27 October onward is considered important. While a technical rebound is expected, investors are also expected to become more cautious ahead of central-bank events: the FOMC on 27-28, the ECB on 28-29 and the BOJ Monetary Policy Meeting on 29-30.
Data on trading value by price band in 2026 show a large cumulative amount above ¥64,000, suggesting that powerful positive catalysts will be needed for an upside breakout. The market could move in response to the central-bank events, although concerns have also been raised that the catalysts may already be priced in.
With earnings announcements from leading US technology stocks and the US midterm elections ahead, the ¥64,000-and-above range warrants close attention.