• Nikkei 225 reversed from resistance zone
• Likely to fall to support level 30000.00
Nikkei 225 index recently reversed down from the combined resistance zone located between the resistance levels 30500.00 (monthly high from March), 30750.00 (monthly high from February) and the upper daily Bollinger Band. The downward reversal from this resistance zone stopped the previous minor impulse wave 1 of the long-term sharp upward impulse sequence (3) from the end of August.
Given the strength of the aforementioned resistance zone, and the overbought daily Stochastic indicator – Nikkei 225 index can be expected to fall further toward the next support level 30000.00 (target price for the completion of the active minor correction 2).
