Despite Asian stocks closed mostly higher, the Nikkei 225 fell 0.85% to close at 17,044.99 on Thursday. The JPY strength weighed on the index in after-hours trading, with the benchmark poised to begin the day around 300 points lower, in the 16,700 region. The early decline came after companies such as Panasonic and Hitachi cut their earnings forecast for the fiscal year. Carmakers were also under pressure, with Toyota Motor Corp. down 2.2% and Nissan Motor Co. falling 1.8%. Nikkei technical perspective “Technically, the daily chart shows that the index is falling below a bearish 20 SMA, having failed to recover the level on an early advance. In the same chart, the Momentum indicator heads slightly lower in neutral territory, but the RSI indicator heads sharply lower around 39, indicating some further declines for this Friday, particularly on a break below 16,622, Thursday's low”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the benchmark develops below a sharply bearish 20 SMA while the technical indicators are posting limited bounces from oversold levels, also keeping the risk towards the downside.” Support levels: 16,720 16,622 16,542. Resistance levels: 16,845 16,930 17,010. For more information, read our latest forex news.