Maintain long positions. The E-Mini Dow’s uptrend extended higher after breaching the previous 33,504-pt resistance level, rising 292 pts to settle at 33,682 pts – a fresh record high. On Friday, the index started the session at 33,451 pts. After touching the session’s low of 33,371 pts, it climbed towards the 33,694-pt session high and last traded at 33,682 pts. With the latest positive momentum, the E-Mini Dow may rise higher to test the resistance pegged at 33,800 pts, followed by 33,950 pts. With the RSI moving into overbought territory, there are no signs of bearish reversal signals yet. As the bullish momentum may continue, we are keeping to our positive trading bias.

We recommend traders stick to the long positions initiated at 31,509 pts, or the closing level of 1 Mar. For riskmanagement purposes, the trailing stop is adjusted to 33,200 pts.

The immediate support is revised to 33,400 pts and followed by 33,200 pts. On the upside, the immediate resistance is revised to the 33,800-pt round figure, followed by 33,950 pts.

Source: RHB Securities Research - 12 Apr 2021