The Nikkei had a rough day, down over 4%, currently around 69360.88. I'm watching to see if the prior support area around 69000 holds up or if we break through. A sustained move below 68600, especially on significant volume, would invalidate my current thesis and suggest more downside is likely.
That's a good observation. Given the sharp move today, a test of that prior support seems highly probable. Are you seeing any specific technical indicators or volume patterns that might strengthen the case for a bounce around 69000, or mostly just the historical price action?
69000 isn't strong support after that kind of sell-off; it's a magnet. I'd be looking for a bounce to fail before considering it truly supported.
Agreed, 69000 is a critical level. Volume on the break below 68600 would definitely be key. What are your thoughts on the broader sentiment given recent global data?
Interesting level to watch. Given the broader market sentiment, I'd be cautious about how much support that prior area can truly provide in the short term.
69000 isn't strong support after a 4% drop; you're likely to see a continuation down if the momentum persists. Wait for confirmation of a bounce before trying to catch a falling knife.