Nikkei 225 Technical Analysis 11 October, 2021

• Nikkei 225 reversed from support zone
• Likely to rise to resistance level 29500.00

Nikkei 225 index recently reversed up from the support zone lying between the key support level 27000.00 (previous monthly low from August) and the lower daily Bollinger Band. The upward reversal form this support zone created the daily Japanese candlesticks reversal pattern Hammer – which marked the end of the previous correction (2)..

Given the strength of the aforementioned support zone and the clear multi-month uptrend, Nikkei 225 index can be expected to rise further toward the next resistance level 29500.00 (low of the previous short-term correction A from the end of last month).

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