“In early November in this Report, I wrote about there being a lot of negativity around Chinese economic growth and iron ore prices,” Michael said.
“Although many rated it as a sell, I was looking for FMG to break through $23 for a run up towards $30.
“After doing that at the end of 2023, iron ore prices have spent most of 2024 sliding lower. “However, once again, we have seen a lot of negativity around iron ore prices.
“However, iron ore prices should recover in line with improvement in global growth and I am now seeing signs of a reversal.
“The recent decline has seen FMG come back to retest the November breakout zone near $23.
“The last few days has seen it bounce strongly, triggering buy signals on the daily MACD and RSI (not shown).
“Current levels are a buying opportunity, and we expect FMG to rally back up towards $29 before consolidating again,” Michael said.
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