Maintain long positions. The WTI Crude ended the latest session marginally changed. At the closing it added USD0.20 to close at USD52.31 – the low and high were at USD51.26 and USD52.52. The commodity’s recent price performances are showing sign that a consolidation phase is developing around the 50-day SMA line. This consolidation set in after its recent weeks’ relative sharp upward move. If the black gold manages to break above the said SMA line, chances are higher that its rebound could extend further. Hence, we are keeping our positive trading bias

With no adverse price development to suggest the rebound has reached an end, we continue to recommend traders to keep to long positions. These were initiated at USD49.78, or the closing level of 8 Jan. For riskmanagement purposes, a stop-loss can be placed below the USD42.36 level.

Immediate support is maintained at USD44.35, which was the low of 2 Jan. The second support is at the USD42.36 mark, or the low of 24 Dec 2018. Conversely, immediate resistance is set at USD54.55, ie the high of 4 Dec 2018. This is followed by USD57.96, which was the high of 16 Nov 2018.

Source: RHB Securities Research - 17 Jan 2019