US Economic Data Exceed Expectations &Nbsp; Market Fears Ease US Cotton Rebound

The US Department of labor (Labor Department) announced on Thursday.

The main cotton area in India is in good weather and the new flower is growing well. Its domestic cotton prices have been stable in recent years. There is no obvious change. The decrease in the supply of long staple cotton in the South has caused concern. The weather is sunny and sunny in Pakistan, and it is expected that the weather will continue in the short term. Although the new flower listing will suppress the cotton price, the cotton prices in Pakistan will remain stable, supported by the increasing demand from domestic textile mills.

In a report, the USDA counsellor said cotton crops in all cotton growing areas in Turkey grew well in 2011.

The availability of high temperature weather and irrigation water resources boosted cotton yield per unit area.

Therefore, Ben

Affected by the lack of rainfall during the cotton growing season, the cotton yield per unit area in some parts of Kazakhstan is lower than normal, and manpower shortage is the other factor.

As of September 23rd, the purchase amount of seed cotton was about 60 thousand tons this year, accounting for 24% of the total expected output.

According to the private sector, the country has already sold about 2000-3000 tons of new flowers ahead of schedule.

As of September 28, 2011, the total number of 2011 cotton in the country was 372 plus.

[current offer]

US cotton: the US cotton main force closed at 102.22 cents / pound, up 2.80 cents / pound, or 2.82%.

Zheng cotton: Zheng cotton main contract 1205 contract 20125 yuan / ton, down 375 yuan / ton, or 1.83%.

The price of cotton in spot market continued to decline slightly on Thursday, due to the decline of electronic disk and lack of market confidence.

As of September 29th, China's cotton price index (CC Index 328) closed at 19980 yuan / ton, down 13 yuan / ton compared with the previous day.

In terms of external cotton, China's cotton import index (FC Index M) closed at 116.88 cents / pound, and the discount tax is about 19478 yuan / ton, which is worse than the same grade real estate cotton price for -502 yuan / ton, and the price difference is widening again.

Domestically, the purchase price of seed cotton has declined in recent years, and the number of acquisitions has also decreased. Cotton farmers' willingness to sell is not strong.

The enterprises that open up the scale purchase are also trying their best to control the cost. They have adopted the strategy of quick processing and quick sales. The recent fall in the market has brought some psychological impact to the enterprises, and the price of seed cotton has continued to remain weak in recent years, which has increased the pressure on the acquisition of enterprises.

In textile mills, there is no large-scale replenishment of eleven small holidays. Although inventory is low, procurement remains cautious.

In addition, it is understood that the current use of cotton mill

[technical analysis and operational recommendations]

Overnight, the US cotton volume will turn red and run to the upper rail of the box section. The short time window will play a role temporarily. Today's 103.5 20 month line will become the key point, and the short-term rebound will follow. Next week and next month's test of 110 will still exist.

Affected by the external market, Zheng cotton jumped to the air and left low in 20280.

The new round fell 20050, close to the 20000 integer mark, close to the psychological price, accompanied by the step by step suppression of the empty average, after 22200 consecutive years of jump down, bringing a small pressure platform to the market rebound, and at the same time led to the release of part of the empty kinetic energy, from the recent main position has appeared, with the average approaching 20000 to 20500 intervals will become the first pressing range.

While waiting for the time window, it is inevitable that the shock will be affected by the bottom rebound of the US cotton.

Operation suggestion:

On the short-term operation, the first 5 day line will be suppressed to 20300, 20300 to 20000 digit, inter cell concussion, short line back to 20000 buy, 20000 can still serve as a long line long defensive position.

The short pressure positions above are 20300 and 20500 respectively.

[disclaimer]:

This recommendation is for reference only in trading, not on the basis of market entry, and is therefore subject to market risk.