Nikkei 225 may rise to 42300 - 43800

Pivot

39200

Our preference

Long positions above 39200 with targets at 42300 & 43800 in extension.

Alternative scenario

Below 39200 look for further downside with 38000 & 36700 as targets.

Comment

Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.

Supports and resistances

45000 **

43800 **

42300 ***

40063 Last

39200 ***

38000 ***

36700 **

Number of asterisks represents the strength of support and resistance levels.