Verdict – Short-term bearish.
DCE iron ore January contract started a slump mode in the Asian afternoon session driven majorly by the consecutive limit-down on coke and coal sectors. Ferrous money outflow was significant. Iron ore technically create three black candles from hourly chart with increasing volume, indicating the correction movement potentially extend in the coming sessions. Hourly MACD created dead cross and daily MACD created dead cross as well. The previous 686.0 as a support become the first resistance. Hourly CCI created the lowest from listed. Technical signals were indicating the correction potentially continue in next few sessions.
The first support is 642.5, the first resistance is 686.0
