Maintain long positions. The COMEX Gold ended the latest session USD12.20 higher at USD1,827.80. We believe the positive session was part of the commodity’s minor consolidation phase which has been taking place over the past few sessions, following its recent upside breach of the multi-year resistance zone of USD1,789.50- USD1,806.60. The consolidation is deemed as healthy and relatively narrow in nature. Premised on this, we are keeping our positive trading bias.

We recommend traders stay in long positions. We initiated these at USD1,766.40, which was the closing level of 22 Jun. For risk-management purposes, a stop-loss can now be placed at the breakeven mark.

The immediate support is revised to USD1,815 – near 9 Jul’s low. This is followed by the USD1,800 round figure. Moving up, the immediate resistance is pegged at USD1,850, followed by USD1,865 – near the high of 12 Sep 2011

Source: RHB Securities Research - 14 Jul 2020