A brief comment on the PP market of China Plastics

On October 16, China Plastics warehouse receipt PP market brief comment

I. Market Overview:

the oil boom hit a new high, but it is still difficult to boost PP warehouse receipt market confidence. Today, PP continues to decline steadily, the market trend is weak, and the driving force is still insufficient. The PP warehouse receipt index closed at the short negative line, and the entity fell slightly below the 5-day moving average, and the moving average system began to diverge in a short position. PP warehouse receipt index closed at 1270.10, down 0.92 points from the closing of the previous trading day. From the specific trend, PP warehouse receipts rose and fell at the opening, and the disk price fell after a short adjustment. At the end of the day, except for the warehouse receipts pp0710 in recent months, other varieties closed slightly lower. In terms of transaction details, both the buyer and the seller have many open and close positions, and the disk trading is stable, and the double volume is slightly reduced compared with yesterday. In terms of technology, the opening of the Bollinger line was slightly expanded, and the price line broke through the lower limit; KDJ index goes down into overbought area

II. Analysis of main varieties:

the introduction of USB type-C connector aims to reduce the electronic waste pp0712, which rose slightly at the opening. The disk price fluctuated and fell, turning from rise to fall. The surge in futures oil failed to boost the trend, and traders' confidence was significantly insufficient. At the end of the day, it closed down 25 yuan, and the settlement price was 11834 yuan/ton, down 6 yuan/ton from the previous trading day. The daily K line closes at the short negative line, and the entity basically extends horizontally below the 5-day moving average. The trading atmosphere was acceptable, and both volumes were reduced slightly

pp0801 opened slightly lower. After a short rise in the price in the early stage, it then slowly fluctuated and fell under the pressure of the seller. The market trend was still weak and difficult to change. The market closed down 20 countries around the end of the day, and the emission standards for pollution prevention and control in various industries were intensively promulgated. The settlement price closed at 11839 yuan/ton, down 8 yuan from the previous trading day. The daily K line closed at the short negative line, and the horizontal extension of the entity was under pressure on the 5-day moving average. The trading atmosphere was active, the trading volume was slightly reduced compared with yesterday, and the order volume increased slightly to a new high

III. comprehensive Adler's comments: crude oil futures rose sharply on Monday, with WTI soaring nearly 3% and breaking through the high of $86 a barrel, because the market is more worried about Turkey's invasion of northern Iraq. On the other hand, the weakness of the US dollar and the signs of tight supply in the future also make crude oil futures more attractive to investors in Africa and the United States. WTI and Brent closed at $86.13 and $82.75, up $2.44 and $2.20 respectively. In terms of PP spot goods, the ex factory price of domestic petrochemicals is generally stable with little change. The market atmosphere around the country was flat, the quotation basically maintained the previous level, and the rise and fall were limited. The demand of downstream factories continued to be depressed. Most merchants waited and waited, and the transaction did not improve significantly. On the whole, PP is in a downturn and the market is difficult to warm up

(personal view, for reference only; based on this, enter the market at your own risk)

source of information: China plastics trading

note: the source of this reprint is indicated. The reprint is for the purpose of transmitting more information, and does not mean to agree with its views or confirm the authenticity of its content