Shanghai aluminum has a compensatory demand

Shanghai Aluminum's demand for a compensatory increase The London copper on Friday was sharply lower against the major currencies, triggering a rise in the fund's price. Now we will shift our perspective to the economic data that will be announced in the United States next week because the Federal Reserve Board (FED) will pay close attention to the CPI data to decide whether to raise interest rates. Prior to this, the fund will complete its expected target within a short period of time. The trading range of the market will expand and close the position before the Fed decides next week. In terms of fundamentals, the inventory level remained low, supporting copper to break through the highs. Today's Shanghai copper extended the London copper gains in early trading, the main contract gapped 200 points to open, the market traded moderately, and the spot premium continued to rise with the support of strong fundamentals, leading forward contracts to break through the recent highs. It is recommended that investors lower their single high position and avoid chasing losses. Under the pressure of selling pressure and profit taking, Lun Aluminum closed at a low level. Fundamentally, there are signs that the US has seen an overall slowdown in spot aluminum trading during the summer months, and that freight rates in some regions have shown signs of decline. However, the structural shortage of aluminum supplies in the United States will continue to provide good support for the rise of aluminum in the central and western regions. Technically, the support level of 1750 US dollars has been established, and the next resistance is shifted to the 1780-1800 range. Shanghai Aluminum still did not break away from the trend of weak consolidation. The gap between the two markets has not changed, and the profitability of exports has gradually increased. Given that Shanghai Aluminum currently continues to be weak, there is a demand for compensatory growth, and investors are advised to wait and see the changes and seek market opportunities. (Li Ling)

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