Elliott Wave view in Nikkei ticker symbol: $NKD_F suggests that the pullback to 22511 low ended higher degree wave ((4)). Up from there, the index is nesting higher in an impulse sequence favoring more upside extension where wave 1 ended at 22885 high. Wave 2 ended at 22620 low, wave 3 ended at 23305 high. Down from there, wave 4 pullback unfolded as a zigzag structure where wave ((a)) ended at 22915 low. While wave ((b)) ended at 23175 high and wave ((c)) ended at 22890 low.
Above from there, the rally to 23650 high ended wave 5 & thus completed wave (1). Below from there, the index is doing a wave (2) pullback to correct the cycle from 9 September 2020 low (22511) as double three structures before the upside resume. So far, the Nikkei has already made a 3 wave pullback from the peak & completed wave W at 23165 low. And above from there, wave X bounce remains in progress approximately towards 23470- 23530 area before starting the Y leg lower entering into another buying area. Alternatively, if it extends lower from current levels then the next area of interest for buyers would be at 22935- 22635 area lower where buyers should appear again. Near term, the pullback in wave (2) is expected to find buyers in 7 or 11 swing against 133.02 low for further upside in the pair.
Nikkei 1 Hour Elliott Wave Chart
