Keep your eye on the price of rubber futures, not only in Shanghai, but also the commodity exchanges in Singapore and Tokyo, as it is bouncing strongly. Admittedly, starting from some of the lowest prices in two or three decades, over the past fortnight we have seen the strongest rally in years. The close above 15,200 yuan per tonne in Shanghai, on excellent volume, took observed volatility and bullish momentum to their highest since 2009 despite being overbought. This suggests there is more rallying to be done between now and the end of the year. The golden moving-average cross adds weight to this view and we would target a fast surge to 17,750 yuan, and then probably to the 19,500-yuan area.