Maintain long positions as the trend is still encouraging. The WTI Crude ended the latest trading on the positive side – it added USD0.65 to close at USD64.05. Session’s low and high were at USD62.99 and USD64.37. The positive session may mark the end of the commodity’s multi-day sideways consolidation in the prior sessions and chances are high that it may resume its upward move. The Daily RSI reading, which fell back to below the overbought reading, is also supportive for an extension of rally. Maintain our positive bias.

In the absence of price signals to indicate the end of the commodity’s rally, 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 USD61.82 level – the low of 5 Apr.

Immediate support is maintained at USD58.17, which was the low of 25 Mar. This is followed by USD54.52, or the low of 8 Mar. On the other hand, the immediate resistance is set at USD66.86, which was the low of 7 Sep 2018. This is followed by USD70, a round figure.

Source: RHB Securities Research - 17 Apr 2019