The US dollar is in the midst of a rally. What is the forecast for the currency? Here is their view, courtesy of eFXdata: TD Research discusses the USD outlook and flags a scope for the recent positioning-induced rally to extend further over the coming weeks. “Our views and trading themes rest on a rotation from the single liquidity meta-theme to a shift in the regional growth variations. The result is a positioning induced USD rally, especially as relative growth signals point to a 3% USD discount. It’s too early to tell, but it may result in a full narrative shift, depending on how the COVID curves and the vaccine rollouts evolve,” TD notes. “In other words, we likely see USD bounce through a transition away from the liquidity-based narrative into the evolving growth divergence theme. Worse, a risk meltdown inspires a bounceback in safe havens like the USD or JPY…Our broad USD positioning index shows USD shorts at new cycle lows, recently advancing past the levels seen in 2017/2018. If things turn, the wave will crash fast,‘ TD adds. For lots more FX trades from major banks, sign up to eFXplus . By signing up for eFXplus via the link above, you are directly supporting Forex Crunch. Kenny Fisher Kenny Fisher Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer. Kenny's Google Profile View All Post By Kenny Fisher Daily Look share Read Next WTI fades a spike to $52.70 after IEA cuts global oil demand forecast by 600K bpd for Q1 2021 FX Street 2 years The US dollar is in the midst of a rally. What is the forecast for the currency? Here is their view, courtesy of eFXdata: TD Research discusses the USD outlook and flags a scope for the recent positioning-induced rally to extend further over the coming weeks. "Our views and trading themes rest on a rotation from the single liquidity meta-theme to a shift in the regional growth variations. The result is a positioning induced USD rally, especially as relative growth signals point to a 3% USD discount. It's too early to tell, but it may result in a full narrative… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
