Verdict – Short-term neutral.
DCE iron ore May23 contract almost duplicated the movement of previous trading day and closed at the same level at 853.5. In both trading days, market test low and recovered all losses. Thus the support on 834.0-835.0 became significant level for the next few trading days. In other words, iron ore could maintain strong if holding up this level. Hourly MACD potentially create gold cross. Technical signals were indicating consolidation in continue.
The first support is 834.0. The first resistance is 860.5
