The decision of the Central Bank of Russia

The decision of the Central Bank of Russia to reduce its interest rates to help their economy was very costly. It strained the strength of the Russian ruble, allowing the greenback to regain its dominance over the trading pair. Prices are now projected to go up towards their resistance level as the ruble faces several hurdles ahead of it. The move should allow bullish investors to prop up the 50-day moving average over the 200-day moving average to maintain their lead. Just last week, the Central Bank of Russia decided to reduce their interest rates from 4.50% to about 4.25%, making a 25-basis point cut. There aren’t any scheduled reports due today for Russia, the next one is due on Thursday, July 30 and it will be the central bank reserves. Bears are hoping that the number won’t go down as it will further add pressure to the ruble. And as for the US dollar, it’s success in the USD/RUB trading pair doesn’t mean that it’s strong against other currencies.