On Monday Russian ruble opened lower after no deal was reached between major oil producers in Doha. The currency depreciated by almost 3.5%
During the first minute of the session, the ruble fell to 68.64 against the dollar and declined to 77.56 against the euro.
Officials from oil-producing nations failed to reach a deal to freeze oil production at current levels, while experts anticipated that the meeting’s outcome will trigger a rise in oil prices and an increase in the Russian ruble’s value particularly.
As a result, the meeting in Doha ended with no action taken and oil prices depend on the US dollar’s exchange rate on the forex market.
Speaking of the ruble, it will further depend on the dollar and oil prices.
Traders’ eyes are also on the options market where major players open positions in advance. First of all, traders should pay attention to the strangle pattern (a put in which with a strike price of 60 and a call with a strike price of 73 both have 305,000 contracts) meaning that investors bet on the dollar/ruble pair moving within a range of 60 rubles to 73 rubles before the options’ expiration date (i.e. until June 15).
Perhaps, things will go in line with this scenario. Moreover, next meeting in Qatar could take place this June. The fact that the strangle’s both ‘legs’ are far away from the current exchange rate counts in favor of the sold strangle. Quite often, directional positions have closer strike prices.
