Maintain long positions while keeping the trailing-stop tighter. The COMEX Gold ended the latest trading session on a negative note. For the intraday, the precious metal reached a low and high of USD1,226.10 and USD1,235.40, before closing USD4.10 weaker at USD1,227. The latest weak sessions can be seen as a possible sign that a minor consolidation phase is kicking in, after the recent sessions’ upward move. This implies the rebound that started from the low of USD1,162.70 on 16 Aug is still valid. The commodity trading above both the 100-day SMA line and the uptrend line (as drawn in the chart) lends further support to the positive tone. Based on these, we are maintaining our positive trading bias.

As the commodity’s positive price trajectory is not showing signs of ending, we continue to recommend that traders keep to long positions at USD1,216, which was the closing level of 14 Nov. For risk management purposes, a stop-loss can now be placed at USD1,202.40.

Immediate support is revised to USD1,202.40, the low of 13 Nov. This is followed by USD1,184, which was the low of 24 Aug. Moving up, the immediate resistance is set at USD1,246, the high of 26 Oct. This is followed by USD1,272.30, or the high of 9 Jul.

Source: RHB Securities Research - 21 Nov 2018