The Nikkei: breakout or fakeout

Much has been made about the Nikkei reaching highs not seen in years.  Japan has expanded its QE program unexpectedly and the Japanese government pension fund has also more than doubled its equity allocation to 25% from 12%.  Is this enough stimulus to push the Nikkei to an uptrend for the next decade?

We can see the Nikkei is above the high of around 16400 set in December of last year.  What is the correct answer?  In this case, the answer is we're not sure yet.  It certainly has the potential.  But we will need multiple attempts to reach 16400 in order to discern if this is a breakout or not.  If the market stays well above 17000, It probably will reach higher levels for the next few years.  I'm guessing we will not know until next year.

In the mean time, sit tight and relax, Nikkei watchers.