Verdict – Short-term neutral.
DCE iron ore May22 contract pushed high in night session however gave back all gains in the following day session, indicating a potential divergence on the market sentiments. Slow stochastic KD created dead cross near overbought boundary. Hourly CCI fell fast from bullish territory to bearish territory and created a bearish divergence yesterday. Technical signals were indicating an exhaustion on the rebound.
The first support is 685.0, the first resistance is 710.0
