Zhengmian 1109 Contract Concussion High No Breakthrough Interval

Intercontinental Exchange (ICE) cotton (25260,15.00,0.06%) futures rose the biggest gain in two months on Tuesday, due to the combined influence of China's cotton price rise, drought and floods threatening the new cotton business in the United States.

ICE index cotton contract CTN1 in July was approximately flat, at $1.5388 per pound; ICE new December.

Today, Zheng cotton 1109 contract concussion has increased.

It opened at 25300, the highest 25425, the lowest 25090, closing at 25340, up 95 points from the previous trading day (+0.38%).

Cotton index increased by 31686 hands, turnover of nearly 1 million 300 thousand hands.

In the spot market, in May 24th, China's cotton price index (328) was 24502 yuan / ton, down 8 yuan / ton.

In May 24th, the import cotton price index (FCIndex S) was 185.05 cents / pound, down 1.73 cents / pound; 1% tariff 30602 yuan / ton, down 284 yuan / ton; discount sliding duty 30945 yuan / ton, down 281 yuan / ton.

According to the statistics released by the National Bureau of statistics, the total export volume of domestic textiles and clothing reached 1-4 US dollars in 1-4 in 2011, an increase of 27.4% over the same period last year.

Although the growth rate of domestic textile and garment exports remained high, it was mainly due to the increase in export prices.

It is estimated that in the first quarter of this year, China's textile and clothing exports to the world increased by 19.46% compared with the same period last year. If the price factors were eliminated, the number of textile and garment exports in China increased by only 3.53% over the same period last year, which is 14.28% lower than that in the same period last year.

According to the survey of cotton reserves in China, the sales rate of domestic cotton mills and cloth factories is lower than that of the same period last year. The survey also shows that the domestic downstream industries are prepared to purchase cotton for a further reduction.

The downturn in the domestic textile industry has affected the domestic market.

Judging from the trend of the disk, the domestic market opened higher today, after the opening price fell, once diving, the lowest to 25090, but soon pulled up, the highest to 25425, followed by high volatility, positions continue to increase.

Cotton trend in the past two weeks is mainly in the range of 24100-25800 yuan operation, the initial low point support and upper gap gap pressure is obvious, in the short term if there is no fundamental good or bad factors to promote, the trend will be horizontal adjustment.

In the medium term, the trend of the 1109 cotton contract is still in the downward path since February, and the short term has stopped. However, it is still necessary to observe whether it can form an effective rebound.

And cotton 1201 contract trend is stronger, yesterday is a breakthrough for last week's trend of turbulence, and today continues to stand firm.

On the operation, it is recommended to continue to wait and see before prices break through the trend of interval shocks.

The above views are for reference only, not as the basis for market participants to enter the market.

Futures are risky and investment must be prudent.