3 Dec 2014
Nikkei gains on weak Yen
FXStreet (Mumbai) - The Japanese equity markets gained for the fourth consecutive day tracking weakness in the Yen., although the index erase most of its gains on signs of overheating.
The Nikkei ended 0.3215 higher at 17,720.43 levels, after hitting a high of 17,881.76 levels. Moreover, the market appears overheated as per Toraku ratio (up-down ratio) rising above 142.00 levels. A level above 120.00 signals an overbought market.
Among stocks, automakers Suzuki and Toyota, chip-making equipment producer Tokyo Electron gained strength. Shipbuilder Kawasaki Heavy and electronic parts maker Murata Manufacturing were also on the plus side. Meanwhile, Otsuka Holdings tumbled 5% on news that it will buy a US drugmaker for about USD 3.5 billion.
Nikkei Technical Levels
The index has an immediate resistance located at 17,875, above which gains could be extended to 18,000 levels. Meanwhile, support is seen at 17,563 and 17,488 levels.
The Nikkei ended 0.3215 higher at 17,720.43 levels, after hitting a high of 17,881.76 levels. Moreover, the market appears overheated as per Toraku ratio (up-down ratio) rising above 142.00 levels. A level above 120.00 signals an overbought market.
Among stocks, automakers Suzuki and Toyota, chip-making equipment producer Tokyo Electron gained strength. Shipbuilder Kawasaki Heavy and electronic parts maker Murata Manufacturing were also on the plus side. Meanwhile, Otsuka Holdings tumbled 5% on news that it will buy a US drugmaker for about USD 3.5 billion.
Nikkei Technical Levels
The index has an immediate resistance located at 17,875, above which gains could be extended to 18,000 levels. Meanwhile, support is seen at 17,563 and 17,488 levels.