EUR/USD: Where To Buy Dips; USD/JPY: Where To Sell Bounces? – TD

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The US dollar is experiencing volatility which is quite unusual. Its major peers are moving up and down against it. The team at TD is bearish against the US dollar.

Here is their view, courtesy of eFXnews:

TD Research discusses EUR/USD and USD/JPY trading strategies and maintains being medium-term EUR and JPY bulls.

We maintain our view that the next few weeks could see the dollar recover a bit, which leaves us looking to use rallies a selling opportunities. The EUR will have to grapple with German political noise and the Italian elections.

We don’t see these as major drivers, though European political events are usually worth a modest repricing of the EUR’s risk premium. Given it is running 2-sigmas from our HFFV, we look to use EUR/USD dips toward 1.21 as optimal buying opportunities.

USDJPY could also run out of gas, though we would use pullbacks toward 110 to get short,” TD advises.

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Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.

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