USD/RUB bounces off lows, approaches 59.30

Pablo Piovano FXStreet

After testing daily lows in the 59.00 neighbourhood, USD/RUB has managed to gather some attention and climb towards the 59.30 region.

USD/RUB eyes on oil, US data

Despite the current rebound in the pair and the recovery seen so far of the greenback, RUB keeps its firm tone around multi-month lows near the 59.00 handle (levels last traded in July 2015).

RUB’s price action stays almost exclusively dependent on crude oil dynamics, with the barrel of Brent crude now testing multi-day lows in the mid-$54.00s.

Spot should remain under pressure in light of the upcoming US releases: CPI, Industrial/Manufacturing Production, the NABH index and the Fed’s Beige Book. Additionally, Dallas Fed Robert Kaplan (voter, hawkish), Minneapolis Fed Neil Kashkari (voter, centrist) and Chairwoman Janet Yellen are due to speak later in the NA session.

In Russia, the weekly report of FX reserves held by the CBR is only due tomorrow.

USD/RUB levels to watch

At the moment the pair is losing 0.29% at 59.23 facing the immediate support at 59.11 (low Jan.6) followed by 58.57 (low Jul.29 2015) and then 56.20 (low Jul.10 2015). On the upside, a surpass of 59.44 (low Jan.18) would open the door to 59.94 (high Jan.16) and finally 60.23 (20-day sma).

1. R3 61.7503
2. R2 61.0955
3. R1 60.2657
PP 59.6109
1. S1 58.7811
2. S2 58.1263
3. S3 57.2965

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD stays defensive below 1.1900 as USD recovers

EUR/USD trades in negative territory for the third consecutive day, below 1.1900 in the European session on Thursday. A modest rebound in the US Dollar is weighing on the pair, despite an upbeat market mood. Traders keep an eye on the US weekly Initial Jobless Claims data for further trading impetus.

GBP/USD holds above 1.3600 after UK data dump

\GBP/USD moves little while holding above 1.3600 in the European session on Thursday, following the release of the UK Q4 preliminary GDP, which showed a 0.1% growth against a 0.2% increase expected. The UK industrial sector activity deteriorated in Decembert, keeping the downward pressure intact on the Pound Sterling.

Gold sticks to modest intraday losses as reduced March Fed rate cut bets underpin USD

Gold languishes near the lower end of its daily range heading into the European session on Thursday. The precious metal, however, lacks follow-through selling amid mixed cues and currently trades above the $5,050 level, well within striking distance of a nearly two-week low touched the previous day.

Cardano eyes short-term rebound as derivatives sentiment improves

Cardano (ADA) is trading at $0.257 at the time of writing on Thursday, after slipping more than 4% so far this week. Derivatives sentiment improves as ADA’s funding rates turn positive alongside rising long bets among traders.

The market trades the path not the past

The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.

Sonic Labs’ vertical integration fuels recovery in S token

Sonic, previously Fantom (FTM), is extending its recovery trade at $0.048 at the time of writing, after rebounding by over 12% the previous day. The recovery thesis’ strengths lie in the optimism surrounding Sonic Labs’ Wednesday announcement to shift to a vertically integrated model, aimed at boosting S token utility.