Verdict – Short-term neutral to bullish.
DCE iron ore January contract rebounded significantly after broke important resistance area from 731.0- 736.0 area. However the price was almost unchanged during the last three hours. Hourly CCI potentially head back from bullish territory to neutral area. Hourly slow stochastic KD was still approaching overbought area. The 755.0 – 758.0 level was an important resistance used to reverse the iron ore contract in June and August respectively. Thus, a breakthrough would potentially absorb some new buyers to this market.
The first support is 728.0. The first resistance is 755.0.
