JPN225: High finishing

The Nikkei 225 Index closed up 248.57 points, or 0.81%, at 30822.50 points on May 19 (Friday). The Japanese stock market rose for the 7th consecutive day. The Nikkei 225 index closed up 0.81% at 30819.79 points today, a new high since July 1990 and a cumulative increase of 18% this year. Japanese stocks have been the best-performing markets in Asia this year. The stock market's rally this year is poised to extend as earnings growth, share buybacks and still-low valuations attract buyers. Buffett's endorsement and improved corporate governance have boosted Japanese stocks, while the performance of corporate earnings may become the latest catalyst.

The Nikkei JPN225——4-hour K-line chart shows:

Looking at the 4-hour chart: the high short-term narrow-range arrangement, the market bullish trend remains, the short-term maintains a high and weak hovering, the MACD indicator is hovering at a high level in the bullish area, and the RSI indicator is in the overbought area of the bullish area below the 80 equilibrium line.

Resistance level: 30972 31120

Support level: 30686 30547

Trading strategy: Bullish above 30806, target 30972 31120

Alternative strategy: bearish below 30806, target 30686 30547