The retreat from the intraday high of 7134 indicates upticks are being sold into. Moreover, the early gains were largely due to the 6% rally in iron ore prices, which is nothing but a technical correction. The metal has been on a one way losing streak for quite some time now.
Overall, the doors remain open for a drop to 7054 (23.6% fib and head and shoulders target). The ongoing consolidation is merely for 5-DMA and 10-DMA to do the catch up job. The averages still look overstretched.
Overall, the doors remain open for a drop to 7054 (23.6% fib and head and shoulders target). The ongoing consolidation is merely for 5-DMA and 10-DMA to do the catch up job. The averages still look overstretched.
