The common European currency recently revealed a large scale ascending channel pattern against the Russian Ruble. The pattern was discovered, as the currency exchange rate did a rebound against the lower trend line of the pattern.
Moreover, the rebound has occurred in a small scale channel up pattern. However, the pattern has already encountered the resistance of a medium term channel down pattern. In general, the situation is quite complicated.
In regards to the short and medium term, one should look at the region near the 69.50 mark. If a rebound occurs, a new medium scale pattern will develop. On the other hand the pair might decline down to a massive scale support, which on Tuesday was located at the 69.00 mark.
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Due to notable developments on the USD/RUB currency pair’s chart a review of the situation is done by Dukascopy analytics department.
In general the pair has broken the previously mapped channel up pattern to the downside due to fundamental events in the United States. However, the currency pair has not moved out of the larger scale trend. Instead it has provided an opportunity to adjust the trend lines of the dominant pattern.
Meanwhile, in regards what all the readers want to know, the short term is quite tricky, as the pair is set to face various resistance levels at the 59.00 mark. Until they are broken, the pair might trade sideways.
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The review of the USD/RUB currency pair is being done due to a massive fundamental change.
The new tax reform of the US was passed in the US House of Representatives. That event caused a drop in the worth of the US Dollar. As a result the support of a long term channel up pattern was passed. Following up to that a review of the patterns was done.
It was discovered that the currency exchange rate is now located in a long term channel down pattern.
Now it can be expected that the 57.70 level will be targeted.