Verdict – Short-term neutral to bearish.
DCE iron ore September contract corrected during the day as expected from previous report. Iron ore created two gaps during the past three trading days. As a result, the current two resistance were consisted of the lower boundary of last two gaps. Hourly MACD narrowed below 0 axis. Hourly slow stochastic KD flattened below oversold area. Hourly CCI approached neutral area from bearish territory.
The first support is 698.5. The first resistance is 735.5.
