Verdict – Short-term neutral, testing breakthrough level on 725.5.
DCE iron ore May22 contract rebounded significantly during the day, the high of the day fell around 725.5, which was a previous high from Oct 13th, 2o21. A test break on 725.5 would determine the short-run direction of the market. However major contract DCE May22 open interest of iron ore reached 650,000 – 670,000 lots, the highest from listed, indicating the continue push need to see some previous short cut loss and leave the market in the next stage.
The first support is 710.5, the first resistance is 750.0
