nikkei 225 daily outlook tues 17 nov bullish tone remains intact above 19560 support 2624452015

(Click to enlarge chart)

Key elements

The Japan 225 (proxy for the Nikkei 225) has continued to push higher as expected and broke above the former short-term trendline resistance from the 11 November 2015 high now turns pull-back support (in dotted green).
Since yesterday, 16 November 2015 low of 19239, the Index has started to evolve within a short-term bullish ascending channel with upper limits (resistances) at 19840 follow by 20040/20050 next.
The aforementioned 19840 and 20040/20050 resistances also confluences with the 1.00 and 1.618 Fibonacci projection of the current up move from 16 November 2015 low @7am to 16 November 2015 high @6pm projected from 16 November 2015 low @9pm.
Do note that 20050 resistance is also the lower limit of our medium-term expected upside target as per highlighted in our latest weekly outlook/strategy (click link for details).
The lower limit of the short-term ascending channel and pull-back supports (both trendline and horizontal) confluences closely at the 19560 level.

Key levels (1 to 3 days)

Pivot (key support): 19560

Resistance: 19840 & 20040/20050

Next support: 19190

Conclusion

Latest price action has reinforced our latest bullish view (as per highlighted in our weekly outlook published yesterday, 16 Nov) that the pull-back/consolidation phase has ended and Index is now in the midst of undergoing a potential medium-term (multi-week) upside movement.

In the short-term as long as the 19560 daily pivotal support holds, the Index is likely to shape a further potential push up to target 19840 follow by 20040/20050 next.

However, failure to hold above the 19560 pivotal support negate the bullish tone to see a slide to retest the 19190 support.

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