Gold exceeded $2.000 per ounce. Stock futures rose on Wednesday as investors awaited further updates on stimulus talks.
USD/RUB: technical long term
Information is not investment advice
Currently, one USD dollar costs approximately 70 Russian rubles.
The latest bullish episode doesn’t change the fact that the mid-term tendency is still bearish. Why? A strategic perspective explains that pretty well. The USD/RUB relationship is quite sensitive to oil crises as we have explained before – in fact, that is almost the only factor that may abruptly push USD/RUB away from its “default” trajectory. The latter is dictated by the global superiority of the US economy against Russian economic weakness that logically results in the appreciation of the USD.
That’s why the strategic lowest lows (as in the monthly chart below) keep lining up in a straight line with positive inclination. While the highest highs make USD/RUB eventually bounce and slide down, it inevitably gets back into the upward trajectory. In the meantime, 70 is the level at which USD/CAD finds itself at equilibrium. For this reason, regardless of the short-term picture, in the nearest future, we are going to see USD/RUB circle around the level of 70. But when the long-term trajectory comes to test this level, we are likely to see another gradual rise followed by possible another surge.
New COVID-19 cases globally have been on the rise lately, although it is too early to call them second waves in most countries.
With the pandemic claiming about 1000 lives a day in the United States, many departments said they lack the money and the staff to identify people who have been exposed, according to a survey of a 121 local agencies.
US stocks are set to open lower Friday, with investors worry over rising tensions between the US and China, deadlock over the next virus relief bill and possible disappointments from the key monthly employment report.
The pair was falling down amid the waning US dollar. However, the situation changed this month.
Dollar continues to keep firmer on the day, all eyes on the US jobs report later.