Holding above previous immediate resistance; maintain long positions. The WTI Crude added USD0.35 in the latest trading to close at USD58.61. The low and high were posted at USD58 and USD58.74. The positive session was a follow-up from the breakout from the previous immediate resistance of USD57.96 in the prior session. Overall, the commodity rebound phase that started from the low of USD42.36 on 24 Dec 2018 continued to show good signs of extending – after the completion of a near three weeks sideways consolidation recently. Maintain long bias.

As the rebound continued to extend without signs of exhaustion, we continue to recommend traders maintain long positions. These were initiated at USD49.78, or the close of 8 Jan. For risk-management purposes, a trailing-stop can be placed below USD54.52.

The immediate support is set at USD54.52, the low of 8 Mar. This is followed by USD50.38, which was the low of 14 Jan. Moving up, the immediate resistance is revised to USD60, a round figure. This is followed by USD63.59, which was the low of 18 Jun 2018.

Source: RHB Securities Research - 15 Mar 2019