Iron Ore is cheaper than Firewood

A ton of Iron Ore is now 25% cheaper than a ton of Jarrah firewood.

With all my writing about extremes and mean reversion, Iron Ore is reaching an interim point which increases probability of a ‘buying’ moment.

Currently, it is trading at US$145 per ton.

The chart below circles an area between US$124 and $132 which I think (in conjunction with my other indicators) present an opportunity for a ‘trading buy’.

Incidentally, that upward sloping line is Iron Ore’s 100 week moving average.

So, I’m looking for a 14% drop in the coming 15 days to satisfy a buying criteria and this will have an effect of your listed iron ore sensitive equities.

BHP at $40.45 perhaps?

September 2, 2021

by Rob Zdravevski

rob@karriasset.com.au

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: