Rouble eyes bullish target near 117.00 despite no progress on ceasefire

USD/RUB holds the lower grounds as Lavrov-Kuleba begins peace talks.
Ukraine seems less optimistic after calling for a compromise on Wednesday.
Bullish 50-SMA on the 4H chart is the line last of defense for USD/RUB

USD/RUB is pressurizing the downside amid a fresh selling wave that has gripped the market, as the much-awaited peace talks between Russia’s Foreign Minister Sergey Lavrov and his Ukraine counterpart Dmytro Kuleba kick-off.

Arriving at the meeting, Kuleba said he had low expectations that a compromise would be reached, as suggested by the country’s leader Volodymyr Zelenskyy a day before.

After the conclusion of the meeting, Kuleba said that there is ‘no progress on ceasefire.”

Despite fading hopes for diplomacy and resolution, the Russian rouble is seeing fresh demand after USD/RUB faced rejection at 140.00.

From a short-term technical perspective, the downside remains compelling, as the Relative Strength Index (RSI) on the four-hour chart has pierced through the midline to trade within the bearish territory.

The immediate support is now seen at the ascending 50-Simple Moving Average (SMA) at 116.80, below which a sharp sell-off towards 110.00 will be in the offing.

Meanwhile, USD/RUB sellers will likely remain in control so long as the price holds below the horizontal 21-SMA at 131.59.

The next significant upside hurdle is seen at the 140.00 round figure.