Maintain long positions as we are awaiting for fresh directional signals. The WTI Crude closed the latest session lower by USD0.12 at USD62.46 – still above the 200-day SMA line. This was after it swung between a low and high of USD62.05 and USD62.99. From the trend’s perspective, we continue to see the rebound leg that started from the low USD42.36 on 24 Dec 2018 as still intact – and there are no price actions spotted so far that indicate price exhaustion at around the said SMA, while we note the Daily RSI is flashing out an overbought reading. Maintain positive trading bias.

As the overall bias is still constructive, we continue to recommend traders stay in 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 the USD58.17 level.

Towards the downside, immediate support is set at USD58.17, which was the low of 25 Mar. The following support is at USD54.52, or the low of 8 Mar. Moving up, the immediate resistance is set at USD63.59, which was the low of 18 Jun 2018. This is followed by USD66.86, which was the low of 7 Sep 2018.

Source: RHB Securities Research - 4 Apr 2019