The Nikkei 225 has confirmed a bullish breakout above its multi-month range, powered by an inverse head and shoulders pattern. Momentum remains strong, with targets set near last year’s highs and beyond, Société Générale’s FX analysts note.
Momentum targets 44,300
“Nikkei 225 broke out of an Inverse Head and Shoulders pattern last month, triggering a steady upward move. It has now surpassed the upper boundary of its multi-month range. The daily MACD remains firmly in positive territory, indicating sustained upward momentum.”
“The next objectives are around 42,425pts, corresponding to last year’s highs, and projections near 44,300pts. The previous consolidation’s upper limit at 40,200pts may serve as short-term support.”
