USD/RUB drops to fresh yearly lows near 55.70

The Russian currency is gathering extra traction at the beginning of the week, dragging USD/RUB to record fresh 2017 lows in the 55.70 region.

USD/RUB weaker on USD sell-off, Brent

The generalized selling mood around the greenback has relegated the pair to levels last traded in early July 2015 around 55.70, always against the backdrop of a solid risk-on context.

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Collaborating with RUB buying, the barrel of Brent crude has started the week on a firm note, advancing to the vicinity of the $53.00 mark and partially reverted part of the recent pullback.

On the positioning side, RUB speculative net longs have receded to 3-week lows during the week ended on April 18, as per the latest CFTC report.

USD/RUB levels to watch

At the moment the pair is losing 0.96% at 55.91 and a breach of 55.72 (2017 low Apr.24) would open the door to 54.99 (low Jun.30 2015) and finally 53.03 (low Jun.18 2015). On the other hand, the next hurdle lines up at 56.73 (high Apr.19) followed by 57.53 (55-day sma) and finally 57.55 (low Apr.10).