Nikkei surrenders gains as Yen gains ground

Japanese benchmark index trimmed gains as the Japanese Yen gained ground for the first time in eight days.

Nikkei gapped higher today and extended gains to a high of 16,971 levels in response to a rise in the Dollar-Yen pair to 103.67 leve;s. However, the currency pair retreated to a low of 103.35 levels. Consequently, Nikkei surrendered gains to trade around 16,915 levels.

Among the index stocks, Shares in Fujitsu rose 7.17%, followed by a 6.75% rise in NKSJ Holdings.

Nikkei Technical Levels

A break below the daily low of 16,890 could yield a drop to 16,844 (previoud day’s high), under which losses could be extended to 16,723 (200-DMA) levels. On the other hand, a break above 16,971 (daily high) would open doors for a possible move above 17,000 (zero figure) and towards 17,156 (Sep 5 high) levels.