January 16 (Mon): Russell 2000

Good evening?

The movements of the Nikkei 225 are very tricky, aren’t they??

There are scenarios where it rises, and scenarios where it falls.

If it rises up to +2σ on the monthly chart, it could approach around 30,000 yen.

On the monthly and weekly charts, if it declines to -2σ, we don’t know how far it will go, but a significant drop is possible.

(Note: a reversal zone is near 17,000 yen)

At this stage, we don’t know which side has the advantage, but

① rise first, then decline

② decline as is

are viewed as two major axes.

Even looking at the Nikkei 225 alone, the answer won’t be known until time passes, so

we are looking at other stocks for reference.

That is why we‘correlation’is the reason for viewing.

In particular, Russell 2000 is said to be the “canary in the coal mine” that leads the downtrend.

With the possibility of a Nikkei 225 crash now being considered, it is a stock we must absolutely monitor, so I watch it every week.

(Note: below, market analysis is limited to members.)