USD/RUB sinks to lows near 57.30

The Russian currency is sharply higher vs. its American counterpart on Tuesday, dragging USD/RUB to the area of fresh lows around 57.30.

USD/RUB weaker on USD selling, Brent gains

RUB is trading in fresh tops vs. the buck around the 57.30 area, levels last seen in mid-June, following the rally in crude oil prices and the increasing selling bias around the buck.

In fact, the barrel of European reference Brent crude is gaining more than 2% around $53.50, recording fresh multi-week peaks at the same time.

Adding to the downside, the US Dollar Index is now accelerating its daily decline to the area around 92.20, closer to Friday’s post-payrolls lows.

In the data space, US factory orders contracted more than expected in July, while Russian inflation figures measured by the CPI rose 3.3% on a yearly basis and contracted 0.5% MoM in August.

USD/RUB levels to watch

At the moment the pair is losing 0.92%% at 57.30 and a breakdown of 56.83 (low Jun.14) would open the door to 56.07 (low May 25) and then 55.72 (2017 low Apr.24). On the upside, the next resistance is located at 58.33 (10-day sma) followed by 58.89 (high Aug.30) and finally 58.99 (200-day sma).