Societe Generale likes selling USD rallies over the medium-term.

"Yields jumped at the start of January and have reversed half of that move. That, of course, reflects the fact that the rally in equities is driven by Fed policy and every SPX wobble is a reminder that we are stuck down a rabbit-hole from which the price of escape is keeping equity market valuations up," SocGen notes. 

"Beyond the short term, the fed stays easy and the dollar remains soft, until the pandemic is well behind us. Keep your distance, wear a mask and sell dollar rallies? Days like these, when we need to take some air out of all markets, are just frustrating, but long AUD, against EUR and USD, remains attractive, as EUR/USD is consolidating, rather than peaking," SocGen adds.