Market Analysis:

Key Phrase: “Iron Ore Leads the Downtrend, Closely Monitor Developments”

Yesterday’s futures market experienced minor fluctuations during the day, with no significant movement. In the night session, iron ore noticeably weakened, with the potential for a downward break.

The price of iron ore is now at the key daily support level of 786.5. If it holds, the market can continue to fluctuate; if it breaks downward, the price of iron ore may approach 735, and rebar may approach 3230.

The current focus of capital games in futures is the “price of iron ore,” while the prices of rebar and hot-rolled coil are not the main contradictions.

In a nutshell: A strong iron ore stabilizes the finished products, a weak iron ore leads to a drop in finished products!

Our operational strategy is primarily to sell on rallies. We should firmly hold onto our previous short positions and be prepared for “right-side shorting.”

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