Given below is the monthly chart of Nikkei225 for the month of June 2009. So far it has recovered only 28% from its January low of 7000. It is not a great achievement in comparison to its other asian peers.
Chart: Quote.com
Two red horizontal lines given at 8957 and 11312 respectively are the two levels to be watched by the investors. Breakout on either side of these two levels would determine the future course of trend in the weeks ahead. Until then it would be a dull market for investors.
There are some positive divergences on daily and weekly charts, implying that the uptrend may continue in short to medium term. Otherwise, holding above its 50dma (currently around 9450) would be positive. This 50dma could be used as buy/sell level.
