Still eying extension of multi-quarter upward move; maintain long positions. The Comex Gold ended the latest session marginally lower by USD0.20 to settle at USD1,518.30. Trading took place in the range of USD1,513.60 and USD1,524. The commodity’s price actions over the latest two sessions are suggesting a minor pause is taking place, this came after it experienced a relatively good upward move in the two sessions prior to that. Overall, we are still taking the view that the precious metal is on the path of resuming its multi-quarter upward move. We are keeping our positive trading bias.

As the technical outlook is still strong, we maintain our recommendation for traders to stay in long positions. These were initiated at USD1,513.80, or the closing level of 3 Oct. For risk-management purposes, a stop loss can be placed below the USD1,465.00 threshold.

Immediate support is expected at USD1,465.00, which was the low of 1 Oct. This is followed by the USD1,406.00 mark, ie near the low of 1 Aug. Towards the upside, the immediate resistance is set at USD1,543.30, or the high of 24 Sep. This is followed by USD1,566.20, which was the high of 4 Sep.

Source: RHB Securities Research - 5 Nov 2019