The Japanese Nikkei 225 index has been retracing through July since peaking at 21800 earlier in the month. That followed a bounce from lows of around 20300 in early June. Price action has just tested the base of a bull flag formed since the July high, with a decent rejection of 21385.
A breakout of the bull flag, currently requiring 21680, would suggest a continued move towards a test of the highs printed in May. In addition to that potential breakout trade, there is a possible nearer-term trade now looking for a run to the top of the bull flag. A possible stop loss location would be just below the recent low and bottom of the bull flag at 21385. The initial target would be 21680 possible further upside in the event of a breakout of the flag.