Shanghai's willingness to rebound has declined and faced strong technical resistance

In terms of the external market, the Asian Lun aluminum oscillation retreated, of which as of 16:28 Beijing time, the 3-month LME aluminum was reported at 2043 US dollars / ton, down 0.
44% per day, at present, Lun aluminum chose to run downward, showing the temporary advantage of bears, and the upper rebound resistance focused on 2060 US dollars / ton
.

In terms of the market, on August 7, the Guangdong spot market transaction concentrated in 14440-14450 yuan / ton, Guangdong-Shanghai price difference from the previous day 170 yuan / ton to 150 yuan / ton, Guangdong local holders maintained a positive attitude towards shipments during the day, the market circulation is abundant, middlemen slightly receive goods, downstream buying is not strong, the overall transaction is general, slightly better than the previous day, aluminum rod processing fees continue to be slightly reduced
.

On the macro front, the Asian dollar index fell under pressure as the Australian dollar rose as the EUR/USD rally and signs of stabilisation in the yuan pushed the Australian dollar higher, while the RBA kept interest rates unchanged as low interest rates supported the Australian economy and the unemployment rate was expected to fall to 5%
in the coming years.
In addition, the domestic Shanghai Composite Index rebounded strongly by 2.
74% during the day, which eased the market's concerns about the decline in Chinese stock markets
.
In the absence of key news guidance, the market may tend to be cautious
.

On the industry front, Alcoa, the largest U.
S.
aluminum producer, on Monday asked the U.
S.
government to grant a tariff exemption on aluminum imports from Canada aimed at boosting domestic metal production
.
The company uses raw aluminum imported from Canada to make aluminum sheets
for cans in its U.
S.
plant.

During the day, Shanghai aluminum 1809 rushed back down 14430 yuan / ton, as aluminum prices rebounded to around M60, there was strong technical resistance, but the market hopes that the new production capacity of electrolytic aluminum and alumina during the 2018-2019 heating season is limited, and the momentum of aluminum prices remains
.
At the same time, the recent domestic aluminum social inventory continued to decrease, which is still conducive to the rebound
of aluminum prices.
It is recommended that the Shanghai aluminum 1809 contract can be backed above 14250 yuan to bargain price, enter the market reference around 14380 yuan, and target 14550 yuan / ton
.