A brief comment on the PP market of China Plastics

On October 18, China Plastics warehouse receipt PP market brief comment

I. Market Overview:

futures oil slightly corrected. Today, the trend of PP warehouse receipt stabilized, the PP warehouse receipt index closed at the short positive line, and the horizontal extension of the entity is still below the 5-day moving average. PP warehouse receipt index closed at 1268.59, up 0.18 points from the closing of the previous trading day. From the specific trend, the opening price of PP warehouse receipts fell slightly across the board, the early price rebounded rapidly, and most varieties turned to rise. Then the buyer was unable to continue to push up, and the price then fell down, and the main varieties closed slightly higher in the end. 3. From the perspective of the use and delivery details of composite polyurethane adhesive, both the buyer and the seller have a lot of opening and closing positions, the trading on the disk is stable, the transaction volume is significantly reduced compared with yesterday, and the order volume is slightly reduced. Technically, the opening of the Bollinger line changes little, and the price line is close to the lower limit; KDJ indicators continue to be subject to oversold areas

II. Analysis of main varieties:

pp0712 opened slightly lower, and the price rose rapidly in the early stage, but the buyer was unable to maintain the high price. The price gradually fluctuated and fell back, and the early rise was fully reversed. Then the disk trend stabilized, and the price fluctuated and consolidated in a narrow range. At the end of the trading, it closed higher by 3 yuan, and the settlement price was reported at 11810 yuan/ton, an increase of 1 yuan/ton compared with the previous trading day. The daily K-line closes at the short positive line, and the horizontal extension of the entity is located below the 5-day moving average. The trading atmosphere was acceptable, and the double volume was reduced compared with yesterday

pp0801 opened slightly lower, and the disk price fluctuated in a narrow range near yesterday's settlement price. The buyer and the seller were in a stalemate and were confused. The experimental machine wanted to obtain accurate data. At the end of the day, it closed up 12 yuan, and the settlement price closed at 11841 yuan/ton, up 4 yuan from the previous trading day. The daily K line closes at the short positive line, and the horizontal extension of the entity intersects the 5-day moving average. The trading atmosphere was acceptable, the trading volume was significantly reduced compared with yesterday, and the order volume continued to rise to a new record high

III. comprehensive comments:

crude oil futures closed slightly lower on Wednesday. Although the market was worried that the tension in Turkey and Iraq might undermine oil supply, the above impact was offset by higher than expected U.S. oil inventory data. WTI and Brent closed at $87.40 and $83.13, up $0.21 and $0.42 respectively. In terms of PP spot goods, the ex factory price of domestic petrochemicals increased by 58.3% year-on-year. The heat resistance of high polylactic acid was generally stable, and individual prices were reduced by yuan/ton. The market situation in various regions continues to be flat, the atmosphere is weak, the price is low, the market is cold, the demand is cold, the downstream factories receive very little goods, the traders' enthusiasm for operation is not high, and they still wait and see, and the cold situation of transactions is difficult to break. On the whole, PP wants to become weak, and the short-term adjustment may continue

(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