Verdict – Short-term neutral.
DCE iron ore consolidated in narrow range after a big movement before and after Powell’s speech. Be aware of the lower lows and lower highs created over the three trading days of the week. A breakdown on 1089- 1090 area would potentially initiate a correction and chances to fill the gap created during the first day of Chinese New Year. Hourly MACD was narrowing below 0 axis. Hourly slow stochastic KD created the second gold cross, which was higher than the first one created during last night session. Technical signals were indicating an exhaustion on the previous correction.
The first support is 1072.0, the first resistance is 1180.0
