Last week, EUR/RUB had a great run, where it managed to push significantly higher, but found resistance near the 78.555 barrier. Today, the pair is trading slightly lower and it seems it is running out of steam, which kept pushing. Overall, EUR/RUB is still trading above its medium-term upside support line drawn from the low of the 4th of June. Even though the momentum had slowed down a bit, still, the near-term outlook looks positive and we will continue aiming higher.
A break above last week’s high at 78.555 could open the door to higher resistance areas, which were last time tested in September this year. This is where the 79.602 resistance zone may come into play, as the next potential target. If the rate acceleration doesn’t stop there, EUR/RUB could rise to its next potential area of resistance at 80.513, marked by the peak of the 11th of April.
The RSI is currently showing signs of topping. It is pointing to the downside but remains above 50. For now, this indicator is giving us mixed signals. The MACD, on the other hand, is above zero and its trigger line, and also continues to point in the upwards direction. This indicator supports the above-discussed idea in regards of seeing a bit more upside.
Alternatively, if EUR/RUB moves lower and drops below the 76.823 level, which is the high of the the 14th of November, this might temporarily spook the bulls from the field and allow the bears to step in. The rate may then depreciate a bit more, where the next potential support area could be at 76.300, a break of which could clear the way for a test of the aforementioned medium-term upside support line. The upside line might limit the downside and provide good support, until the bulls and the bears decide who will take control from there.
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