Japan 225 — Is the Correction Finally Losing Momentum?

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Japan 225 — Is the Correction Finally Losing Momentum?Japan 225 - CashCMCMARKETS:JAPAN225Yong726Market Structure Japan 225 remains in a medium-term bullish structure despite the sharp decline from its recent swing high. The latest selloff interrupted the previous series of higher highs, but price has started to stabilize above a key demand zone. The recent rebound suggests sellers are losing momentum, although the index still needs to reclaim nearby resistance before confirming a stronger recovery. Market Sentiment - Neutral to Moderately Bullish Selling pressure has eased noticeably after the recent correction. Buyers are gradually returning, but confidence remains cautious until price breaks above the nearest resistance. Bullish Scenario If price continues holding above the first support and breaks through the first resistance, bullish momentum could strengthen, opening the way toward the second resistance and confirming that the correction has likely ended. Bearish Scenario If sellers regain control and push price below the first support, the recovery could fail, exposing the second support and increasing the probability of another leg lower. ──────────────────── Market Outlook The recent correction has significantly cooled the previous bullish momentum, but price is beginning to establish a short-term base. This type of price action often represents the transition from distribution into accumulation. The next directional move will largely depend on whether buyers can reclaim the nearby resistance zone with stronger participation. ──────────────────── Key Levels First Resistance 66,600 Second Resistance 67,200 First Support 65,800 Second Support 65,200 ──────────────────── Future Scenarios A sustained move above 66,600 would suggest buyers are regaining control and could extend the recovery toward 67,200 while improving the broader technical outlook. However, if price falls below 65,800, bearish pressure may return and expose 65,200 as the next important support area. ──────────────────── Please share your view below: Do you think Japan 225 has already completed its correction, or is another wave of selling still ahead? More market structure and key level updates will be shared regularly.