Daily Report 220415 2015-04-22
Main contract of domestic gold AU 1506 rallied slightly in the night session. Currently, the moving averages are stuck closely and the triangle convergence region is continuously narrowing down. The gold is believed to remain the downward trend. Sound investors are recommended to focus on the operational opportunities after the region between RMB 244 and RMB 239 is broken through. Concerns have been raised due to inevitable default risk of Greece’s debt, sparking an increase in risk aversion, which bolsters the gold. The overnight gold ETF positions increase 3.29 tons, indicating the funds are holding an optimistic view of the gold. On the whole, the gold is stuck in consolidation range in short term. Potential rebound is likely to take place due to the situation in Greece. However, the gold may reach to a high level and then falls back after the risk aversion sentiment cools down.
Main contract of domestic silver AG 1506 reached to a high level and then dropped. Pressure was found along 5-day moving average at RMB 3520 in short term. On the whole, the silver is still following the trend of gold and is believed to remain fluctuating in short term. Sound investors is recommended to focus on the operational opportunities after the region between RMB 3630 and RMB 3470 is broken through.
Overnight U.S. soybeans finished straight 5-day increasing, which is impacted by two factors. One reason is some investors got the profit so they closed out their positions; secondly the soybean meal price dropped. DCE soybean price rally over night; spots price continues to be stable which support the price of back month contract 1509 and 1601.
Soybean meal market is more like going to come out of the stable zone, recently from fundamentals it seems stable; since we expect there will be huge amount of soybean meal arrived in April, lately the market may still face the supply pressure. In terms of operation, we suggest hold short positions in the middle term.
Dong LV (Investment Certificate NO. TZ008452)