Kouchi Trade, in the middle of a blazing flame? The market is pumped as Nikkei breaks through 50,000!

Do you remember that article? It stated, “Stocks will rise with Prime Minister Takai’s birth, and 55,000 yen by year-end is in sight,” just a few days ago. Now that reality is approaching. The Nikkei average has finally broken through 50,000.

For those who moved based on the scenarios at the time, they should now be reaping the benefits of the “Takai Trade.” Defense, space, AI-related “Takai stocks” are soaring across the board. The market’s enthusiasm is, indeed, a blaze.

At this point, the next focus is “how far will it go?” The figure of 55,000 yen by year-end is becoming plausible, but there is yet another major factor. That is the “Trump meeting.”

Depending on the results of the meeting between Prime Minister Takai and President Trump, market expectations will surge again. A gain of +2000 yen isn’t a joke given the current momentum.

Foreign buyers are also back, Nikkei futures are seeing daily increases in volume. If the exchange rate can stay around 140 yen, there could be even more momentum.

Of course, being overly optimistic is dangerous, but right now we are in a “go with the flow” phase. In such markets, it’s more important to ride the wave than to blunt the momentum. The stance of quietly buying dips when they come is appropriate for this period.

That said, keep an eye on political risk and sudden currency swings. The key to surviving is to calmly set profit-taking points when momentum is strong.

Toward the year-end highs, let’s continue to quietly enjoy the “Takai Trade.”