A new month, a new rise - Japan's Nikkei 225 shares rose further thanks to its developing steel and automobile sector.
The Nikkei 225 ended well from an early down trade. As the trading session concluded, the Nikkei 225 in Tokyo added 0.50% to 19,148.08 in its performance. Relative Strength Index upped from 47.86 to 50.73 in the recent trading.
The Cumulative Volume Index is used as an indicator for market stimulus as well as determining the difference between plunging and rising stocks. As recorded in the chart above, the CVI rose from 143376.85 to 143911.96 indicating that the market trend for Nikkei is on a positive note.
As for the Coppock Curve, which is used to determine the bottoms of the market, is at -0.79 which surged from -1.95. A rule for using the Coppock Curve is when a stock is still below 0, a buy is not advisable. Nikkei might be on a rise but it still hasn't passed 0, a hold on a possible buy is recommended.
Stocks That Boomed
Strong earnings forecast from JFE Holdings factored to the rise of the Nikkei. The stock was last seen at around 13.50 and jumpstarted the second month of 2017 at 17.75. The huge difference made JFE as the best performing stock in Nikkei on the recent trading session.
Other performers which contributed to the rise were Mitsubishi Motors Corp. that also surged to 11.86% or 73.0 points to trade at and closed at 688.5. On the other hand, NTN Corp. surged 7.72% or 37.0 points to end at 516.0 as Hino Motors, Ltd. in late trade, escalated 7.53% or 90.0 points to 1285.0.
On Possible Q4 Fiscal 2016 Outlooks
Japan's economy is eyeing a possible development and is expected to progress moderately of around 1% through its fiscal 2017 as managed by brusque trades of autos and electrical fragments.
The last quarterly earnings of 2016's GDP possibly can show an annualized upturn of 1% as the industrial sector rose to 3% on the last month and 0.8% as foreseen on this month.
In the first half of 2017, Real GDP development is expectedly to remain between 1.0% and 1.5%, above the impending progress level of around 0.8%.
Domestic demand still struggles to find its strength, but indications of improvements are perceptibly noticeable.
On Tuesday, The dollar dropped after Trump and Peter Navarro, his trade adviser, pointed out Japan, China and Germany as United States' main trading associates, engaged in revaluing their currencies.
However, The Dollar improved and traded exceeding 113 Yen in the latest trade, stimulating the general sentimentalities about shares in Japan.
Today, the U.S. Federal Reserve is anticipated to maintain interest rates as it is when it settles a two-day meeting- its first policy conclusion subsequently after Trump entered the white house.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.