The pressure above PVC is still large, and there are still short-term pullback requirements

In terms of news, the operating rate of PVC production enterprises remained high last week
.
According to Zhuochuang statistics, the overall start of PVC was 85.
93%, an increase of 0.
95% from the previous month; Among them, the operating rate of calcium carbide PVC was 86.
18%, an increase of 1.
73% month-on-month; The ethylene PVC operating rate was 87.
68%, down 0.
78%
from the previous month.
Xinjiang Yihua restarted at the end of December, and Lutai Chemical's 120,000-ton production capacity was put into operation
in early January.
Based on the determined production and import and export volume in December, excluding the possible reduction in demand during the Lunar New Year holiday, the oversupply in February was about 600,000-700,000 tons;

In terms of the market, according to Longzhong statistical report, on February 18, the total inventory of PVC market was 376,000 tons, an increase of 7.
12% over last week and 7.
43% over last year; East China increased by 6.
52% from last week to 245,000 tons, down 7.
55% from last year; South China increased by 8.
26% from last week to 13.
1, an increase of 54.
12%
year-on-year.

Warehouse receipt inventory: exchange warehouse receipts reported 131 lots, -0; in the historical low area, stable
during the day.
Main position: The top 20 long positions in the main contract are 118345,+1333, the short positions are 102276,+56, and the net long positions are 16069, +1137
.

Fundamentally, the recovery of crude oil has produced some support for prices, but during the long holiday, the accumulation of inventory by production enterprises is obvious, and just after the long holiday, the sluggish demand for PVC downstream has produced a certain suppression
on the price.

Technically, PVC1905 is in a narrow range of short-term moving average and medium-term moving average, and the trading volume and position volume have increased
significantly.
The 60-day moving average temporarily provides some support
.
However, the MACD oscillation is lower, the green bar becomes longer, and the KD indicator oscillates lower, indicating that there is still a short-term pullback requirement
.
Operationally, it is recommended that investors continue to hold short orders with caution
.