Nikkei run away surge

I have been writing this blog for years and in its early days, I have relatively high number of readers. Since I stop ped my entries some time ago, naturally the readership dropped to zero. 

As I restart my blog recently (like last year), there is an average 8 readers checking on articles. I am all right with this as my intention is simply to key in my thoughts and track my practice technical charting. 

Other than the 3 main indices of my interest and some key forex pairings, I occasionally check on counters falling into the limelight. My entries are some time here and there.

So it is to my surprise today that there is a whopping 150 viewers checking on my blog yesterday. I have no idea who they are, probably only knowing that it is from USA. I have no idea on which article that they are looking into. 

The only thing I suspect that people are checking on is Anheuser-Busch which was downgraded and on the way down.

Anyway, I believe this is a once in a blue moon incident on my blog. After all, the time of blogging is on a sunset streak.

As for today, I will limit my update to only Nikkei 225 and not on all 3 indices, the other 2  counters have still not much indication of breakout.

Fig 1Nikkei weekly chartIt has now reached 

It is interesting to note of a breakout on Nikkei 225. It touched a high of 30,980, 173 above the previous high of 30,807.

At the same time, it also crossed the 100% projection of a shorter-term projection at 30,345. The next level of resistance is the 127% projection mark of 31,645. 

To be honest, I do not find the break out from the previous high decisive, because Nikkei closed the week with 30,835, a mere 25 points above the resistance turned support mark, coincidentally below the Bollinger envelop of 30,851. 

I suspect the coming week will have Nikkei going to test the 127% projection level. At the same time, crossing 100% projection is with tendency of entering potential congestion stage before moving further. 

Another thing with the recent move of Nikkei. I am seeing multiples of 3-wave patterns giving me a feeling of counter wave moves. Can this be the c wave of the B wave? 

There are also another 2 points to note.

First, Nikkei also broke out of a double bottom and we can estimate a potential objective of between 32,157 (61.8% extension) to 33,985 (100% extension). However, it will also mean that we might be seeing a correction soon. Probably the resistance at 127% projection will ask Nikkei to retest the neckline of 29,231.

Now, this part is on a larger move, The counter began to congest after a surge ended in 2021. This congestion formed a potential projection target of between 33,360 to 39,216. 

If this is true, then Japan economy will be having a very good future.