Daily Report 210217
Monday copper market was strong. LME copper price largely increased 1.68%. The main reason is supply tightened. LME inventory yesterday deceased 5050 tons to 224000 tons. LME actuals discount narrowed $3.25 to discount $11.75. Technically, after copper price broke former fluctuation range, there is still space for rally. If roll back happens, can choose opportunity to buy.
Yesterday PP Futures fluctuated at low point. Opened at 8910, and closed at 8937. Trading volume decreased 172000 lots to 267000 lots. Holding volume decreased 47322 to 407000 tons. Actuals side, yesterday domestic PP price continued decrease. Intraday main quoted prices for wires of north China, east China and south China markets are RMB 8750-8900/ton, RMB 8850-9000/ton and RMB 8850-9050/ton, respectively. Now average line system is long tendency. MACD green column lengthened, which is roll back tendency. Focus on 60-days average line.
Monday Nickel market continued fluctuation tendency. Nickel price reached $11165. LME inventory yesterday increased 4290 tons to 384000 tons. LME actuals discount narrowed $0.5 to discount $55.75. Technically, Nickel price broke all the stress of average lines. Short-term rally tendency is expected to continue. Recommend long positon.
Domestically, DCE soybean species performances are different. Soybean No.1 contract has high bolster. Soybean meal slightly rallied. Northeast districts soybean market price stably increased. Domestic soybean meal actuals price Monday mostly decreased RMB 20-30/ton. Oil plant quotation is RMB 3130-3180/ton. As for operation, recommend long position with bolster of 4150. Reduce soybean meal long position at high point.
                                                                                              Dong LV (Investment Certificate NO. TZ008452)