Verdict – Short-term bearish.
DCE iron ore September contract corrected as previously expected. A further breakdown on 1106.0 potentially drive down the price to 985.0 level, which was the lowest since April 12th. Daily MACD created dead cross. Daily CCI created roof area from the second week of June and then leaked to a bearish territory. Daily stochastic created dead cross below overbought area. Mid-run bearish confirmed. Short-run potentially test lower area during next trading session.
The first support is 1106.0, the first resistance is 1150.0
