Nikkei hits fresh 2-month highs on upbeat Japanese data

FXStreet (Mumbai) - The Japanese equities index opened with a sharp positive gap of 250 points tracking weaker yen overnight and edged higher on a better than forecasts Japanese data.

The benchmark Nikkei 225 index trades higher by 1.82% at 17974.38 levels, retreating from fresh two month highs posted at 18005 levels earlier in the session. The index regained strong footing after Japanese core machinery orders surged more than market expectations. Also relatively weaker yen versus the US dollar boosted export-oriented stocks, pushing the index higher. However, the upside remained capped amid the uncertainty underlying the situation in Greece which dampened market sentiments.

The index trades with a positive market breadth, the advance-decline ratio being 188:34. Marui Group Co is the top gainer, up 13.81%, Takashimaya Co Ltd was up 4.84%. Among the top losers, Showa Shell Sekiyu is declining almost 6% after the company said it likely made a net loss for the fiscal year of 9.5 billion yen. Chiyoda Corp is down -4.56%.

Nikkei Technical Levels

The index has an immediate resistance stands at 18030 above which gains could be extended to 18150 levels. Meanwhile, support is seen at 17850 levels and from here to 17780 levels.

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