Verdict – Short-term neutral to bearish.
DCE iron ore September contract corrected as expected. Iron ore tested resistance of 783.0, however rejected. Hourly slow stochastic KD created gold cross in oversold area, however the KD has yet left oversold area. Hourly MACD narrowed below 0 axis. Hourly CCI created bullish divergence with price. Technical signals were indicating an exhaustion on the correction. However money movement was indicating the market was mainly driven by short positions. Market expected to test low in the next few sessions.
The first support is 755.0,the first resistance is 783.0
