Still eyeing to play the rebound; maintain long positions. The WTI Crude ended the latest session on a soft tone – it settled USD1.16 lower at USD53.94. The low and high were posted at USD52.84 and USD55.24. The weak session again pushed the commodity back below the resistance zone made up of the 200-day SMA and the downtrend lines (as drawn on the chart). Nevertheless, the black gold’s rebound phase that started from an area near the USD50 immediate support level is still valid. This bias would stay, provided the latest low is not breached. Maintain our positive trading bias.

On the observation that the said rebound phase may still carry on, we continue to recommend traders stay in long positions. We initiated these at USD57.10, or the closing level of 13 Aug. For risk-management purposes, a stoploss can now be placed below the USD52.84 mark.

Immediate support is revised to the latest session’s low of USD52.84. This is followed by USD50, a round figure. Meanwhile, the immediate resistance is set at USD58.82, which was the high of 31 Jul. This is followed by the USD60.94 mark, or the high of 1 Jul.

Source: RHB Securities Research - 4 Sept 2019