Nikkei Forecast May 26, 2016, Technical Analysis

The Nikkei had a good day on Wednesday as we broke above the resistance, and now look ready to grind away higher. The ¥17,000 level above has caused quite a bit of resistance, but quite frankly it’s only matter time before we go above there. Pullbacks should offer buying opportunities and value, as the Nikkei certainly looks as if it is picking up momentum now. A break above the ¥17,000 level should send this market looking for the ¥17,750 area above, and possibly even further. We have recently been making “higher lows”, and as a result it looks as if the trend is trying to change in this market.