West **: Short-term Zheng sugar continues high turbulence

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Zheng sugar main contract SR1101 is about to complete the transfer to SR1105 contract, the recent high volatility market, more than a single attention to the profit out, this week can pick up the intraday low chips, every disk sharp increase in positions, the recent market and the United States will be the trend of raw sugar The short-term trend of Zheng Sugar has a great impact. The time for short-term contracts has not yet arrived and patiently wait for the opportunity to enter the market.

【Reviews】

On Tuesday, most commodities in the commodity market rose moderately. In the agricultural product sector, soybeans and oils ran down in a narrow range and dragged lower overnight. Zheng sugar opened lower and oscillated throughout the day. The main contract SR1101 reached around 5330 before the end of the morning, and then was pushed up by buying interventions. The price rebounded to a narrow range around 5360. By the close of the trading day, the SR1101 closed at 5292 yuan/ton, which was down 20 points, and it had lighten up 10,000 holdings to 500,000 lots with a trading volume of 470,000 lots. By the close of trading, the SR1105 closed at 5,370 yuan/ton, down by 18 points, and it had reduced its warehouse by 55.72 million holdings to 500,000 lots with a trading volume of 1.276 million lots.

The U.S. producer price rose for the first time in four months in July, driven by rising raw material prices. This data alleviates concerns about a weak economy or deflation. A report released by the U.S. Department of Labor on Tuesday showed that after a seasonal adjustment, the U.S. producer price index (PPI) increased by 0.2% in July from June. This is the first increase in PPI since March. Overnight the US dollar index continued to weaken slightly, closing near 82.29 points. US crude oil continued to fall for 5 consecutive trading days. The decline narrowed and closed the first small Yangxian, closing at 75.77 US dollars/barrel, US raw sugar rose moderately, 10 contracts to 19.38 cents/lb. The 03 contract closed at 18.78 cents/lb.

【Market Analysis】

Zheng sugar main contract SR110, SR1105 received a small Yang Xian. SR1101 lighten up, SR1105 slightly lighten up, SR1101, SR1105's MACD's DIFF and DEA high "Sicha", K, D double high "Sicha", technical indicators show that the shock rise. Position changes, the funds moved from SR1101 to SR1105 for 7 consecutive trading days, SR1105 contract gradually become the main contract, SR1105 contract positions before the 20 main single more than 175,103 hands, empty single 158,644 hands. Wanda, the Great Wall increased by more than 3479 hand and 1677 hand, Yongan increased holdings of 1717 hands. In terms of inventory, the number of white sugar warehouse receipts was 18,844, an increase of 96 from the previous trading day and 1,179 effective warehouse receipts.

In terms of spot, the quotation for the main producing areas on Tuesday remained basically stable, with some areas rising slightly by 10 yuan. Nanning: 5470-5480 yuan / ton, up 10 yuan / ton. Liuzhou: 5470-5480 yuan / ton, up 10 yuan / ton. Kunming: 5370 yuan / ton, up 50 yuan / ton. Zhanjiang: 5470-5480 yuan / ton, up 10 yuan / ton. Urumqi: 5100-5150 yuan / ton, steady.

【Overview】

On Tuesday, Zheng sugar continued to oscillate at a high level, failing to reach the 5436 line for three consecutive trading days. If it is difficult to break near 5436 this week, the short-term bulls will have to change. From the long-term perspective of sugar, under the influence of the expansion of planting area under the influence of the growing price of sugar in the next crop season, the output should increase significantly. However, under the short-term short-term demand pattern, it is difficult for sugar prices to fall sharply. On the news, the Indian meteorological department stated that 235 million farmers in India depend on rainfall for irrigation. As of August 11, the rainfall was below the average level of 26%, and the rainfall amounted to only 466.9 millimeters, which was lower than the average level of 63.1 millimeters in 50 years. Since June 1, the rainfall is lower than the normal level of 4% in previous years. However, Brazil’s sugar shipments continue to increase.