Verdict – Short-term bearish.
DCE iron ore tested high below 809.0 on Friday night session, however corrected deeply during Monday. From hourly chart, the rejection around 809.0 area indicated iron ore shift back to bearish territory. Iron ore potentially test 751.5, which was a three month low level. CCI rebounded from the lowest level last week, however hourly MACD and slow stochastic KD both indicated the correction in continuance.
The first support is 769.5. The first resistance is 804.0.
