Nikkei 225 slips away from 22,000 as traders ponder their risk levels

• The Nikkei is drifting lower after risk appetite drove the index back into the 22,000.00 region.
• Wavering China inflation figures are sapping market sentiment in the Asiatic theater.

Japan's leading equity index is walking back yesterday's growth as traders refocus on the US-China trade spat and stuttering growth figures from the Asia continent. The Nikkei is dropping into 21,700.00 after reaching into the 22,000.00 level in Tuesday's action.

China's inflation softens more than expected in March

Markets rallied on Tuesday after China appeared willing to work with the US to resolve the ongoing trade conflicts, but continuing comments from Beijing are beginning to walk that sentiment back, and China is showing that their willingness to open up their economy and lower tariffs only goes so far.

Nikkei Levels to watch

The Nikkei is declining directly into the 38.2 Fibo of Tuesday's rally, near 21,700.00, and further declines will bump into support from yesterday's low at 21,535.00 while a bullish continuation will have to climb over Wednesday's opening prices near 21,850.00 before challenging Tuesday's high at 21,960.00.