Short-term bulls still have the advantage

News: On September 27, Premier Li Keqiang inspected the 40 million ton oil refining project
of Zhejiang Petrochemical Co.
, Ltd.
The total scale of Zhejiang Petrochemical refining and chemical integration project is 40 million tons/year of oil refining, 8 million tons/year of paraxylene and 2.
8 million tons/year of ethylene, with a total investment of 173 billion yuan
.
The planned construction period is 2017-2021, and the construction is Zhejiang Petrochemical Co.
, Ltd.

Zhejiang Petrochemical's 1.
4 million tons/year ethylene plant is currently the largest ethylene production line
in China.
The project is expected to be completed in October 2018 and achieve the start-up target by the end of
the same year.

Raw material price: naphtha CF Japan reported 728.
62 US dollars / ton, down 1.
09%; FOB Singapore was trading at $79.
42 a barrel, down 1.
24 percent
.
ethylene CFR Northeast Asia 1180 US dollars / ton, down 20 US dollars; CFR Southeast Asia was flat at $1,080/mt
.

Spot prices: Southeast Asia was flat at $1,130; Far East reported 1110 yuan / ton, unchanged
.
Domestic prices: North China Daqing reported 9800 yuan, up 50 yuan; East China Yuyao reported 9850 yuan, up 100 yuan; Guangzhou in South China 10,100 yuan, up 100 yuan; Northwest Dushanzi 9850 yuan, up 50 yuan
.

Liansu 1901 contract opened high and went high, the trading volume was significantly enlarged, and the position also increased, fundamentally, the management tax and interest cuts formed a certain support for the market, and the spot price rose, and the steady decline in social inventory also supported the price
.

Technically, MACD and KDJ indicators have signs of low upside, indicating that short-term bulls still have the advantage
.
In terms of operation, it is recommended that investors set more take profits in their hands and hold
them cautiously.