Technicals - Iron Ore Futures - major resistance now located at 470

The Dalian iron ore futures contract generated a technical buy signal at 323 on 28/1/16, which identified the turnaround in iron ore in the early stages of the rally. The basis of our technical analysis model is not to attempt to pick the absolute low, but instead the early identification of when the trend has turned. The iron ore price technical outlook turned positive in late January (and has subsequently rallied by 40%). The technical outlook remains positive given there is no sign of a technical top formation emerging. Major resistance of the upward trend channel is now located at 470 (refer to attached chart).