Iron ore miners flog dead cat as Dalian heads for Hades
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Finally today some relief for the army of reckless tards that pile into iron ore every time it falls. The majors are both up 1% after yesterday’s 3% shellacking that broke all sorts of technical levels and set them up for more pain, much more, in my view. FMG is also enjoying a 3% bounce but is still languishing far below the former support line and now resistance level at $2.92. And so, onto the comparative index charts:
The majors are breaking down, however the idiocy spreads are trying but failing to close given the speed of the iron ore decline:
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But the juniors are showing no such qualms, rationally and reasonably going the way of all flesh:
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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.