RSX’s “chart is still a fine mess, perhaps morphing into an even larger basing pattern or, perhaps, commencing a fresh leg down. In terms of specific price levels to observe, post-downgrade, it is likely bulls need to valiantly defend $14.60, then $14 to prevent another full rollover. Recapturing $16.30 on the upside is going to be the big task for the bull case, going forward,” according to Chessnwine of Market Chess.

A possible catalyst for further upside for RUSS is how many ratings agencies, if any, decide to follow S&P’s lead in the near-term.

Earlier this month, Moody’s Investors Service lowered its rating on Russian sovereign debt to one notch to Baa3 from Baa2. That was after Fitch Ratings lowered Russia’s sovereign credit rating to BBB-, the lowest investment grade, with a negative outlook. Fitch previously rated Russian sovereign debt BBB. [Russia ETFs Fall After Fitch Downgrade]

Direxion Daily Russia Bear 3x Shares