FXStreet (Córdoba) - The Japanese Nikkei gave back part of its previous gains, losing 0.90% or 168 points to end the day at 18,777.04 on Tuesday. The index retreated from a fresh 2-month high above the 19,000 level, but trading was for the most choppy ahead of the FED and the BOJ meeting later this week. Speculation has grown on a downward revision of Japanese inflation forecast in the semi-annual report due out early Friday, whilst investors are also considering chances of a possible extension of the ongoing stimulus program. Nikkei technical view “Technically, the Nikkei has retraced further after failing a few points below its 200 DMA, but remains well above a strongly bullish 20 SMA. In the same chart, the technical indicators have turned lower from near overbought levels, increasing the risk of a bearish movement for the upcoming session”, said Valeria Bednarik, chief analyst at FXStreet. “Shorter term, the 4 hours chart presents a bearish tone, given that the index is now below its 20 SMA whilst the Momentum indicator heads slightly lower below the 100 level and the RSI consolidates around its mid-line”. Support levels: 18,732 18,663 18,572. Resistance levels: 18,852 18,920 18,972. For more information, read our latest forex news.