🔹 Market Recap

Yesterday, coking coal surged again, with Lüliang coking coal auction prices rising by 123 yuan in just two weeks.
This propelled coking coal from around 830 to 860, eventually breaking the resistance at 860 and soaring to 880, with a single-day gain of about 50 points (+4%).

As a result, finished steel prices followed suit, moving upward in response to coking coal’s bullish momentum.

Currently, coking coal remains the key driver of the entire ferrous complex.

🔸 Market Outlook

With coking coal’s bullish sentiment still in play, we expect finished steel to continue rising today, as bullish positions gather momentum.

That said, the market has not reversed, and this rally should be viewed as a technical rebound.
We maintain our short-term bearish stance and advise shorting on rallies, though coking coal still has substantial room for further upside.

📊 Trading Strategy:

  • Avoid shorting for now, given the ongoing coking coal strength
  • Watch for high-level corrections in the coming days

📌 Daily insights provided by LangZo Steel. For reprints, please credit LangZo Steel.