The JP 225 stock index has completed its correction and resumed upward movement. The JP 225 forecast for today is positive.
JP 225 forecast: key trading points
- Recent data: Japan’s current account for June stood at 3.436 trillion JPY
- Market impact: this indicates a healthy economic structure and currency balance support, which generally boosts investor confidence
JP 225 fundamental analysis
Japan’s latest current account data showed a surplus of 3.436 trillion JPY, well above the forecast of 2.940 trillion JPY and the previous figure of 2.258 trillion JPY. The growth in the current account indicates that Japan exports significantly more goods and services than it imports, or receives substantial income from overseas investments.
The JP 225 index, which includes the largest and most liquid stocks on the Japanese market, typically reacts positively to improving macroeconomic indicators. A growing current account reflects external stability, which increases investor risk appetite and supports stock growth, especially in stable and fast-growing sectors of the economy.
Japan’s current account: https://tradingeconomics.com/japan/current-account
JP 225 technical analysis
The JP 225 index is currently in a phase of corrective decline, while the broader uptrend remains intact. The support level is located at 39,410.0, with resistance at 41,755.0. At this stage, there are no signals indicating a trend reversal. Therefore, the index is likely to reach a new all-time high in the near term.
The following scenarios are considered for the JP 225 price forecast:
- Pessimistic JP 225 scenario: a breakout below the 39,410.0 support level could push the index down to 37,455.0
- Optimistic JP 225 scenario: a breakout above the 41,755.0 resistance level could boost the index to 43,080.0
JP 225 technical analysis for 7 August 2025
Summary
Japan’s current account data for June 2025 indicates a significant improvement in the country’s external balance and provides support for the national currency. This creates a positive environment for the Japanese stock market and the JP 225 index, particularly for the industrial, technology, and domestic consumption sectors. However, the strengthening of the yen and reliance on external demand call for investor caution, as they may negatively affect export-oriented companies and certain industries.
The JP 225 index has formed an ascending channel within an uptrend, with the next upside target at 43,080.0.
Source: Roboforex
