Global equity markets finished yesterday's trading in risk-on moods and upbeat sentiment can also be spotted at the beginning of today's session. Asian equities rose sharply and Nikkei 225 Index has been a top performer, recouping much of the losses from earlier this week and taking the lead from a sharp turnaround rally on Wall Street overnight, even after US inflation data came in hotter than expected in September. Stocks then came roaring back in what analysts attributed to various factors, including technical levels that triggered programmed buying. Japanese stocks also benefited from another set of dovish comments from BoJ governor Kuroda, who said that rising rates at the moment would be a bad idea. Also futures from the Old Continent point to a higher opening of the European cash session today, German DAX (DE30) is one of top performers with a 1.5% gain at press time. An improvement in moods is accompanied by weakening of the US dollar and a drop in US yields.
JAP225 rally over 3.0% and is currently testing key resistance at 27170 pts, which is marked with previous price reactions, 23.6% Fibonacci retracement of the upward wave launched in March 2020, downward trendline and 200 SMA (red line). Should break higher occur, upward move may accelerate towards next resistance at 28400 pts. However if sellers manage to regain control, another downward impulse towards recent lows at 25620 pts may be launched. Source: xStation5
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appThe content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
