Iron ore majors break down

Thursday 1 May 2014

The iron ore majors are breaking down technically. Rio is caught in a bearish descending triangle and today breached its March low at $60.80:

FMG is the same, though still a few cents above its March low of $4.83:

The juniors are all well below their March lows but BHP is faring better given its diversity. The 2014 rally in theses stocks really was one of the more foolhardy that I can recall!

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.