BofA Warns Russian Ruble Weakness Is Here To Stay

Since the start of 2014 the Russian Ruble has been for sale, and BofA’s Macneil Curry warns, that trend will persist. With desk chatter that Russia’s 2nd largest state owned bank VTB setting USDRUB exchange rate to 39.45 (a huge shift relative to Friday’s close on MICEX was 36.05), trendlines are in peril.

Via BofAML’s Macneil Curry,

Russian Ruble to remain under pressure

The break of 5yr trendine resistance at 33.23 says $/RUB has begun a long term uptrend, which should ultimately take prices up to the 39.86/40.92 area before all is said and done.

In the near term, we look for a test and break of the Feb’09 high at 36.52.

Going forward we think that, pullbacks must be seen as buying opportunities.


    



via Zero Hedge http://ift.tt/1eRjkn5 Tyler Durden

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