Verdict – Short-term neutral to bullish.
DCE iron ore January contract maintained bullish trend as expected. Although iron ore corrected massively this afternoon leading by the big slump of Asian equities, iron ore recovered all losses during last hour and still created higher highs and higher lows in the past three days. The market in short-run remain this trend as both volume and open interest remained flat. The daily low was supported by 697.5- 700.0 area, which used to be an important level to link many highs and lows.
The first support is 700.0. The first resistance is 728.5.0.
