Environmental protection subject checks and balances steel prices

Moderator: The stock market has been weak, and the correlation between the trend and the Shanghai Composite Index continues to weaken. When will this link become consistent again?

Chen Bingkun: I haven't seen any clear signs that the market is bottoming out. My fundamental analysis and system indicators are all pointing to a downward trend. I don’t like to guess when it comes to analysis or trading, but I do forecast trends and prepare risk control strategies accordingly. So, we can only wait for the time when the two indices align.

Moderator: You mentioned earlier that 60-minute wave trading was more suitable for the current market. Has the recent stock index performance continued with the band trading strategy?

Chen Bingkun: Yes, the recent stock index strategy still follows the 60-minute wave approach. Under the daily downward trend, we focus on short-selling opportunities in the 60-minute timeframe. As long as we avoid subjective bias, this method keeps trend traders steady and focused.

Netizen: Hello Mr. Chen, if the government increases its macroeconomic control efforts in the second half of the year, including rural transformation and urbanization planning, would that be beneficial for steel prices?

Chen Bingkun: Any policy introduced is likely to be positive. After all, there hasn’t been a significant upward movement in steel prices this year. We’ll have to wait for official announcements or policy releases before making any conclusions.

Netizen: From the perspective of steel inventory, since late March, steel stocks have declined for 15 consecutive weeks, dropping from 22.51 million tons in March to 16.91 million tons this week—a 25% drop. Rebar inventories also fell from 10.8 million tons to 7.14 million tons. Can this data affect coke prices?

Chen Bingkun: This data alone isn’t enough to reverse the coke trend. The correlation between steel inventory and coke prices isn’t strong.

Netizen: I’d like to ask, since last week, there were some trend trading opportunities, but I haven’t seen you suggest any in the past few days. Are there any potential opportunities coming up?

Chen Bingkun: Let’s see if rebar can break through the short-term resistance level of 3610 tomorrow. If the breakout is confirmed and stable, I will promptly share the trading plan.

Netizen: I asked a simple question—what is the relationship between steel inventory and coking coal? Common sense suggests they’re closely related. Is the current heavy warehouse stock of coking coal about to be released or reduced?

Chen Bingkun: Every trading day, I post daily pressure levels on Hexun Weibo. If the price is too low, we short the pressure levels. If the price breaks above the daily resistance, we close all positions and wait for a reversal or a rebound before considering new shorts.

Netizen: China's new round of urbanization planning is expected to be announced this year. How will this impact steel product trends?

Chen Bingkun: Definitely, urbanization is a key focus of the 12th Five-Year Plan. There are many factors affecting steel demand, such as the need for angle steel in power grid upgrades. I was very interested in the meeting, but no specific date was announced yet.

Netizen: Can we continue to short coke and coking coal? Short-term psychological pressure is high. Is it bottoming out?

Chen Bingkun: As long as the risk-reward ratio is favorable, it’s worth participating. It’s just a matter of psychological pressure. This is a test of objective judgment and discipline. Overcoming internal emotions is essential for successful trading. Psychological stress is the biggest obstacle for investors. It requires understanding and experience. Everyone faces it; it's about how you deal with it. Read biographies of successful finance professionals and extract the best lessons from them—they often contain valuable wisdom.

Moderator: Thank you, Mr. Chen, for your insightful answers and the lively interaction with netizens. This interview is now concluded.

Chen Bingkun: Thank you, host, and thank you all. See you next time!

Joint Bar

Material: 45# Steel C1045 S45C

Specification: America used 115 RE, 132 RE; Europe, Africa and Asia used UIC54, UIC60; South America used TJ45, TJ57 and the UK used BS60, BS75;

Protection: Plain (oiled), hot dip galvanized, white zink plated, yellow zink plated, black, dacromet, geomet or others specified by the customers

They are used for connecting rail tracks at certain length.

We supply standard rail joint bars to North America, South America, Europe, Southeast Asia, standard refers to GB/TB, UIC, BS, AS, AREMA, JIS, GOST, DIN etc.

We also manufacture fishplate bolts with nuts and lock Washers according to standard specifications.

They are bundled and palleted for ocean delivery.
Zhongbo Railway Fastening Company is a leading Chinese manufacturer of rail fastening and rail joint bar.

Zhongbo, as a specialized rail fastener manufacturer, provides a complete line of products, including rail fastening, anchor, rail joint, rail clip, rail screw, anchor bolt, Rail Clamp plate, rail fishplate, and fishplate bolt for connecting rail tracks.

We also make rail fastenings for crane rail and elevator guide rail, along with other related products. We manufacture according to GB/TB (Chinese national standards and railway standards), AREA, UIC, BS, DIN, ASTM, and AS standards.

Our products are mainly made through hot forging.

The threads of rail screw spikes are made by hot rolling with special threading machines.

We produce metric threads, BS, BSW, TR thread, or round threads.