Daily Report 140415 2015-04-14

Main contract of domestic gold AU 1506 remained a downward trend in the night session, breaking through the triangle convergence region in short term. In terms of trend, the gold is believed to keep dropping. Attention should be paid to 20-day moving average at RMB 240. Short positions could be opened if the gold falls below RMB 240 during the intraday trading. The bolster is found at RMB 237.5 and defensive moves should be prepared according to 30-day moving average at RMB 241. On the whole, the market is still digesting the Fed meeting minutes of March, which is considered to be relatively hawkish. The US dollar index grows strongly, giving pressure to the gold. Besides, the US initial claims of unemployment are still rather strong, which offsets the concerns raising from the unexpected decline of the US non-farm payrolls in March. The overnight gold ETF positions have been dropping since March 20. However, this figure increased 2.98 tons last night, indicating the funds tend to be interested in investing the gold.


Main contract of domestic silver AG 1506 dropped 2.14%, which is much further than the gold. In terms of trend, the silver is considered to remain a downward trend. In short term, the silver may break through the bolster of 20-day moving average at RMB 3560. Previous short positions opened yesterday when the silver is weak during the intraday trading at RMB 3560 could be held, with stop-profit set at RMB 3450 and stop-loss set at RMB 3580.


Yesterday PP futures opened up high with a strong fluctuation, which opened at RMB 8380 and closed at RMB 8381. The trading volume increased 80472 lots to 829000 lots; the holdings increased 20152 lots to 425000. In terms of devices, the operation rate is dropping. For upper stream, FOB Korean propylene price slightly increased $5 to average price $1005.5 per ton.
For instance of the wire drawing price, today's mainstream of North China bid in RMB 8900-9000 per ton, East China mainstream quotation in RMB 9050-9300 per ton, South China mainstream quotation in RMB 9050-9300 per ton.
                                                                                       Dong LV (Investment Certificate NO. TZ008452)