RHB Investment Bank Bhd (RHB Research) has shifted its stance to recommend initiating long positions on WTI Crude after the commodity breached its stop-loss threshold at US$72, marking a decisive bullish breakout. The research house highlighted that WTI Crude closed at US$73.13, maintaining its position above the 50-day Simple Moving Average (SMA) and signalling a strong bullish momentum. The first resistance level is set at US$76, with the next target at US$80.

WTI Crude opened the session at US$71.85 and trended upward throughout, hitting an intraday high of US$73.73 before settling at US$73.13. This marks its fourth consecutive bullish candlestick, supported by a rising Relative Strength Index (RSI), which RHB Research noted reflects the growing strength of the bullish momentum. Following the breakout, the commodity has adjusted its support level to US$70, with secondary support at US$68. The 50-day SMA is expected to act as a significant support line, underpinning further upward movement.

The short positions initiated at US$70.58 on Oct 15 were closed after the stop-loss was triggered at US$72. RHB Research has now initiated long positions at the Jan 2 close of US$73.13, with a stop-loss threshold set at US$68 to manage trading risks. The new strategy reflects the confidence in the commodity's potential to test higher resistance levels in the near term.