Japan & South Korea

Japan’s Nikkei 225 Index broke through resistance at 10000. Follow-through above 10200 would indicate a further advance as signaled by sharply rising 13-week Twiggs Money Flow. The rally is becoming dangerously extended and a correction to test support would add stability.

Nikkei 225 Index

* Target calculation: 10000 + ( 10000 – 9000 ) = 11000

South Korea’s Seoul Composite Index is already in a primary up-trend. Respect of the zero line by 13-week Twiggs Money Flow again signals strong buying pressure. Follow-through above 2050 would signal an advance to 2200*.

Seoul Composite Index

* Target calculation: 1950 + ( 1950 – 1700 ) = 2200