OctaFX | OctaFX Forex Broker
Open trading account

Nikkei poised to open lower after Draghi

FXStreet (Córdoba) - The Nikkei closed Thursday practically unchanged, up by 1 point at 19,939.90, as investors waited sidelined for the ECB's economic policy decision. The index started the day with a negative tone, but recovered amid a softening yen.

Anyway, the deception triggered by Mario Draghi sent worldwide stocks plummeting, with Nikkei futures falling nearly 500 points in electronic trading.

Nikkei technical perspective

“Poised to start the day around 19,450, the daily chart shows that the index has fallen below its 20 and 200 SMAs, while the technical indicators are crossing their mid-lines towards the downside, increasing chances of further declines for this Friday”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the index has fallen well below a now bearish 20 SMA while the technical indicators have stalled around oversold levels, where are currently turning flat, suggesting some range consolidation before a new leg south”.

Support levels: 19,405 19,322 19,250. Resistance levels: 19,492 19,565 19,620.

GBP/CAD consolidates gains above 2.0200

The GBP/CAD cross soared underpinned by GBP/USD rally and fueled by an improved reading of the UK Services PMI. The Canadian dollar ended the day pretty much unchanged, as investors remain away from the USD/CAD ahead of the monthly employment readings of both economies, to be released together on Friday.
Read more Previous

US stocks fall sharply after ECB

Wall Street sunk this Thursday on prospects of less easy money in Europe according to the latest ECB economic policy decision.
Read more Next
Start livechat