EUR/USD: remains heavy after opening this week near the low from September last year. This seems to be the only hurdle ahead of the psychological 1.3000 level. The move is rather slow but there is no reason to fight it despite that most flows lately has been on the left-hand side.
USD/CHF: had a reasonably quiet start to the weekafter the overall dollar strength last week. We expect tight ranges to prevail. Watch the ongoing geopolitical tensions. Fade dips to 0.9140 and rallies above 0.9200 in USDCHF.
USD/JPY: had a quiet start to the month. Buy on dips to 103.80-104.00 with stops below 103.70, targeting 104.50 ahead of 105.00.
USD/CAD: eventually found some support ahead of 1.0800, still holding key support at 1.0810. Short CAD positioning is significantly lighter after the sharp drop last week. We prefer buying on dips with tight stops below 1.0800, targeting 1.1000. Watch the BoC decision on Wednesday and employment data from both the US and Canada on Friday.
UBS