Key Points:
- Nikkei 225 rose 1.4% to 35,518.96 intraday; poised for a 2.2% weekly gain.
- Topix index up 1.08%, eyeing a 2.35% weekly advance.
- USD/JPY at 142.94, down 0.23%, as currency risks eased after U.S.–Japan finance talks.
After a choppy midweek session, the Nikkei 225 rallied on Friday, driven by renewed confidence in Japan’s tech sector and the easing of currency-related anxieties. The index touched a high of 35,639.13 before closing slightly softer at 35,534.13, still marking a strong weekly performance.
Sentiment improved as President Trump softened his rhetoric on tariffs, calling the current trade standoff “unsustainable.” Though China denied recent U.S. claims of resumed dialogue, traders shifted focus to corporate earnings and semiconductor outlooks.
The yen’s pullback from a seven-month high also bolstered export-heavy sectors, with traders taking comfort in Japan’s finance ministry maintaining an open—but non-committal—dialogue with the U.S. Treasury.
Technical Analysis
The Nikkei225 rebounded sharply from the intraday low of 34,749.13, carving out a strong recovery trajectory into 25 April. Price action reclaimed the 30-period moving average, with successive green candles forming a stair-stepping uptrend toward 35,639.13, the current resistance zone.
Picture: Nikkei claws back from the dip, reclaiming structure above key moving averages as bulls eye the 36,000 zone, seen on the VT Markets app
Despite facing slight rejection at the highs, the MACD histogram remains above the zero line, while the MACD and signal lines are still in a positive crossover state—a sign of underlying bullish momentum. The 5 and 10 MA are aligned above the 30 MA, supporting short-term trend strength.
Key support rests near 35,200, and a confirmed break above 35,650 may open room toward the next psychological target at 36,000. Sideways movement in recent candles suggests the index is pausing, not reversing—a continuation move may follow.
