Japan's Nikkei 225 Is Flashing Bearish Breakdown Conditions Below The 50-Day MA

MarketPulse by OANDA Group713 FollowersFollow5ShareSavePlay(5min)CommentsSummaryThe Nikkei 225 has reversed sharply since late February, turning into one of the worst-performing indices amid rising stagflation fears driven by elevated oil prices and prolonged US–Iran tensions.Japan’s heavy reliance on oil imports, coupled with a weakening corporate earnings outlook (falling earnings revision index), is reinforcing bearish sentiment and downside pressure on equities.The index remains trapped in a descending triangle below key resistance; a break below 52,070 may extend losses toward 50,160 and potentially the 200-day moving average, unless 54,095 is reclaimed. AlexSecret/iStock via Getty Images By Kelvin Wong Japan’s stock market has continued to wobble since the start of the US-Iran war on 28 February 2026, fading its initial bullish sparkle seen at the start of the year, where the Nikkei 225This article was written byMarketPulse by OANDA Group713 FollowersFollowMarketPulse is an award-winning industry analysis and news site service created by OANDA Business Information & Services, Inc. Covering forex, commodities, global indices and more, our goal is to give timely, relevant and informative commentary on major macroeconomic trends, technical analysis and worldwide events impacting the industry.