Exchange traded funds that follow Russia are pulling back from their highest levels since August. Investors are trying to figure out what Vladimir Putin’s controversial victory in the presidential election means for Russian ETFs.

Putin won his third presidential term after holding the post of prime minister.

The Russian stock market and ETFs are highly sensitive to oil prices, which are up about 11% to date, reports Trang Ho for Investor’s Business Daily. The Russian market is so correlated with oil prices that many investors use Russian ETFs as a proxy for oil. [Russian ETFs Glide Higher with Oil, Commodities]

For the first time in half a year, Russian ETFs recently moved above their 200 day-moving-averages. SPDR S&P Russia (NYSEArca: RBL) and Market Vectors Russia (NYSEArca: RSX) have gained over 20% this year.

Analysts say that the latest rally indicates Putin was expected to win the latest election, however, promises of reform will be expected to be carried out. [ETF Chart of the Day: Russia]

Meanwhile, a weaker U.S. dollar has given the Russian ruble more power. The U.S. dollar is down 8.2% against the ruble in 2012.