August 20th, news from China
On August 20, 2026, the BDO market in China showed a fluctuating trend, with the three average differences not fully consistent in their direction, failing to meet the criteria for a clear upward or downward trend. Meanwhile, the spot prices in the East China and South China regions for both bulk water and drum-packed BDO have been continuously rising over several days. Upstream, Shaanxi Heimao's 60,000 tons/year BDO facility plans to undergo maintenance for 45 days starting in late August, and Xinjiang Xinye's Phase II, which has a capacity of 70,000 tons, has temporarily halted operations. These supply-side contractions are supporting a stronger price trend.
1. Average Difference Variation Table
| Average Difference Type | Today's Value (2026-08-19) | Yesterday's Value (2026-08-18) | Direction of Change |
|---|---|---|---|
| 5-day Average Difference (D5) | 40.00 | 40.00 | Flat |
| 10-day Average Difference (D10) | 21.67 | 13.34 | + |
| 20-day Average Difference (D20) | 10.84 | 6.66 | + |
2. Signal Status Determination
The directions of the three differences compared to the previous day are not entirely consistent. The key feature is that the 10-day and 20-day differences continue to rise, while the 5-day difference remains unchanged. Combined with the continuous increase in the spot price, this is a strong consolidation (bullish) signal.
3. Trend Direction Conclusion
The short-term price trend is oscillating (with a bullish bias), as the directions of the three mean differences are not fully consistent, which does not meet the criteria for a clear upward or downward trend. Meanwhile, spot prices for both bulk and drummed products in East China and South China have been increasing for several consecutive days. Upstream, Shaanxi Heimao's 60,000 tons/year BDO plant is scheduled for a 45-day maintenance shutdown in late August, and Xinjiang Xinye's Phase II 70,000 tons plant has temporarily halted operations. The supply-side contraction supports a stronger price trend with oscillation.
4. Position and Spatial Reference
60-day cycle prices are at a high level, with limited room for increase; 3-month cycle prices are at a medium-low level, and 1-year cycle prices are at a medium level, providing some room for recovery and increase.
5. Trend Chart Display
6. Risk Warning
The above analysis is for reference only and does not constitute trading advice.
