Verdict – Short-term bearish.
DCE iron ore May22 re-entered the bearish tunnel during the day with expanding trading volume. The volume and open interest structure indicated that iron ore market was still driven by aggressive new short positions. Hourly MACD expanded in bearish territory. Hourly slow stochastic KD created a dead cross above oversold area. Technical signals and money movement both indicated the bearish market in continuance.
The first support is 674.5, the first resistance is 700.0
