There is little reason to expect pressure to abate anytime soon – Scotiabank

The USD is broadly weaker versus the major currencies. Economists at Scotiabank analyze Greenback’s outlook.

Technical signals remain bearish for the DXY

There is little reason to expect pressure to abate anytime soon.

Technical signals remain bearish for the DXY across short, medium and long-term timeframes, suggesting no letup in the trend for now. 

Seasonal factors and the fact that a lot of bad news is getting priced into the USD now may open the door for some recovery in the new year, however – but not before the USD drops a bit more.