TD Bank Faces $3 Billion Fine Amid Money Laundering ScandalTD Bank (NYSE: TSX:TD ), Canada's second-largest bank, has been hit hard by a $3 billion penalty following its guilty plea in a high-profile money laundering case involving drug cartels and other criminal networks. This hefty fine is a result of TD’s failure to monitor over $18.3 trillion in customer activity, leading to more than $670 million being funneled through accounts associated with money laundering schemes. As part of the settlement, TD Bank will face severe growth restrictions and the implementation of a stringent oversight program for its U.S. operations.
The Whole Story
The Department of Justice (DOJ) and federal financial regulators have highlighted TD Bank’s negligence in addressing anti-money laundering (AML) concerns. According to Attorney General Merrick Garland, the bank’s profit-driven mindset allowed it to turn a blind eye to the illegal activities of drug traffickers, leading to TD Bank becoming complicit in these crimes. In addition to the financial penalty, TD’s U.S. subsidiaries are restricted from growing their total assets beyond $434 billion, similar to the Federal Reserve’s sanctions on Wells Fargo in 2018.
This settlement is expected to severely impact TD Bank’s business outlook. The $1.8 billion portion of the penalty to the DOJ marks one of the largest fines in U.S. banking history. Additionally, the Treasury Department's Financial Crimes Enforcement Network (FinCEN) imposed a record $1.3 billion penalty and will monitor TD Bank for four years to ensure compliance.
TD’s leadership, including CEO Bharat Masrani, has taken responsibility for the bank’s failures, pledging to make the necessary changes to its AML program. While this is a major step, it might not be enough to win back the trust of stakeholders in the short term. The controversy surrounding TD Bank's role in criminal activities, including narcotics trafficking and terrorist financing, poses a significant challenge for the institution’s reputation.
Technical Analysis
TD Bank's stock has faced substantial pressure as the scandal unfolded. As of the latest trading session, (NYSE: TSX:TD ) has dropped over 6%, indicating a selling spree by investors wary of the bank's future prospects. The stock’s Relative Strength Index (RSI) has dipped to a weak 33, suggesting that it is entering oversold territory. This RSI level reflects a stock that could continue to decline if further negative sentiment prevails.
On the daily price chart, TD Bank (NYSE: TSX:TD ) is exhibiting a classic gap-down pattern, a strong bearish reversal signal. This pattern, combined with the overwhelming negative fundamentals, indicates that the stock could face further declines in the near term.
Despite this, TD Bank (NYSE: TSX:TD ) is trading above both its 100-day and 200-day moving averages (MAs), signaling that there is still some long-term technical support. If the stock can stabilize at these levels, it might be able to recover some losses once the immediate effects of the scandal subside. However, breaking below these key moving averages could signal deeper trouble ahead.
What’s Next for TD Bank?
TD Bank’s near-term future remains uncertain as it grapples with the fallout from its guilty plea. The penalties will not only hamper its financial performance but also restrict its growth, particularly in the highly competitive U.S. market. The negative publicity surrounding the scandal and the regulatory restrictions could erode investor confidence, leading to more volatility in the stock price.
However, with TD Bank’s commitment to rectifying its AML program and the backing of a strong leadership team, the bank may be able to weather the storm. Long-term investors will be closely watching how the bank implements its corrective actions and manages regulatory oversight in the coming years.
In the short term, TSX:TD is in for a bumpy ride. With the technical indicators pointing towards more downside risk, traders should keep an eye on the 100-day and 200-day moving averages as potential support levels. If these break, the stock could face a steeper decline.
TD
TD Bank Probe Tied to Laundering of Illicit Fentanyl Profits A US Department of Justice (DoJ) investigation into TD Bank ( NYSE:TD ) is focused on how Chinese drug traffickers and crime groups used Canada's second-largest lender to launder their money from fentanyl sales. The bank disclosed last year that it was cooperating with authorities in an investigation into its anti-money laundering compliance program by the DoJ. The investigation was initiated after agents uncovered an operation in New York and New Jersey that laundered hundreds of millions of dollars in proceeds from illicit narcotics through NYSE:TD and other banks.
TD Bank ( NYSE:TD ) and the DoJ did not immediately respond to Journalist requests for comment. Canada's anti-money laundering agency imposed its biggest-ever penalty of nearly C$9.2 million ($6.71 million) on TD Bank ( NYSE:TD ) over non-compliance of anti-money laundering regulations. Toronto-Dominion Bank ( NYSE:TD ) also faces probes by three US regulators over its handling of suspicious customer transactions. The bank has set aside an initial $450 million with respect to just one of those regulatory probes, but it can't estimate the final size of any fines or other penalties it might face tied to the anti-money-laundering investigations.
The Wall Street Journal reported that the US Department of Justice launched an investigation after discovering evidence of a drug-money-laundering operation in New York and New Jersey. There are allegations that the criminals bribed Toronto-Dominion employees in that case and at least one other. Toronto-Dominion disclosed last year that it was under investigation by the department. Canada's second-largest lender also faces probes by three US regulators over its handling of suspicious customer transactions. The bank has set aside an initial $450 million concerning just one of those regulatory probes, noting that it can't estimate the final size of any fines or other penalties it might face tied to the anti-money-laundering investigations.
Toronto-Dominion's shares dropped after the Journal report Thursday afternoon and closed down 1.7% afterward during Friday trading session, Toronto-Dominion Bank ( NYSE:TD ) stock was down 6%. The bank has been and continues to cooperate with law enforcement and regulators, and a comprehensive effort is underway to strengthen its anti-money laundering program, including investments in talent, tools, and technology.
TD Swing Long Conservative Trend TradeConservative Trend Trade
+ long impulse
+ biggest volume T2 level
+ support level
+ biggest volume Sp
Calculated affordable stop loss
1 to 2 R/R take profit
Daily Context
"+ long balance
+ ICE level
+ 1/2 correction
- neutral zone"
Monthly Context
" - short impulse
+ biggest volume T1
+ support level
+ 1/2 correction
+ biggest volume 2Sp+
+ weak test to 1/2 correction"
TD Swing Long Aggressive Trend TradeAggressive Trend Trade
- short impulse
- unvolumed T1
+ biggest volume 2Sp-
- skipping test expecting gap overnight
Calculated affordable virtual stop loss
1 to 2 R/R take profit at 1/2 of Daily
Daily context
"+ long balance
+ ICE level
+ 1/2 correction
+ support level"
Monthly Context
"- short impulse
+ biggest volume T1
+ support level
+ 1/2 correction
+ biggest volume 2Sp+
+ weak test"
#COMBO/USDT#COMBO
On the 4-hour frame, we have a bearish channel that the price is trading within, and it was broken
We have strong upward momentum that the price is expected to continue rising
The stability of the price above the moving average pushes the price to continue
Entry price 0.774
First goal 0.818
Second goal 0.875
Third goal 0.939
Visa - Potential technical rebound1. Fortune_TD, Fortune Banker trend :
Fortune TD 9, TD 13and Force 9 (from 25 Sep) show the trend exhaustion range, the green bar shows this is a potential share pull back. .
Fortune Banker trend, green line shows the banker chips flow in at the bottom, red lines show the profit money at bottom as well, then short money cross its 5 days average, potentially an uptrend begin.
2. First Up and Retrace :
03 Oct 2022, short money trend line gold cross, followed by the bottom exhaustion range signal TD 9, 13 and Force 9
First up happened followed by a the retrace as indicated by TD and share pull back signal.
3. Diverge:
Fortune Crown, red dot shows the share price is at bottom, and there is a bottom divergence today, the green bar momentum shows a positive momentum, potential uptrend after divergence.
Fortune Banker trend, short money trend line shows the bottom divergence, potential uptrend begin.
4. Summary:
Based on above analysis, there is a potential of technical rebound after a mid term down trend, cut loss 184.66.
CVX - Short term support and resistance1. Fortune_TD, Fortune Banker trend, Fortune Crown stage:
28 Sep 2022, Fortune TD 9 and Force 9 show the trend exhaustion range, the green bar on the previous day shows this is a potential share pull back. .
03 Oct 2022, Fortune Crown red dot reverse from bottom
03 Oct 2022, Fortune Banker trend, green line shows the banker chips flow in from 26 Sep 2022, then short money cross its 5 days average on 03 Oct 2022, potentially a reversal at the bottom.
2. Support and resistance:
the support is the lower price of share pull back signal (green bar), at 140.46.
The 1st resistance is the gap down on 10 Jun 2022, at 173.65.
4. Summary:
Based on above analysis, if the share price hit the resistance 173, and the buy point is 152, short term profit is approximate 11%. If there is no sell signal at the resistance level , then it will develop into main wave.
Disclaimer : no recommendation of buy/sell, purely for TA learning and sharing.
CSCO - Weekly chart in exhaustion range1. Fortune_TD, Fortune Banker trend, Fortune Crown stage:
Analysis on weekly chart
03 Oct 2022, Fortune TD 13 show the trend exhaustion range, the green bar shows this is a potential share pull back.
03 Oct 2022, Fortune Crown security line is at bottom, still going down, there is no red dot yet.
03 Oct 2022, Fortune Banker trend, green line shows the banker chips flow in, but the short money still not yet gold cross its 5 days average.
2. Potential opportunity:
waiting for the share price break out the green bar high 42.25.
3. Summary:
Based on above analysis, the share price is downtrend in daily and weekly chart, so using weekly chart to identify the bottom area instead of using weekly chart.
Disclaimer : no recommendation of buy/sell, purely for TA learning and sharing.
DJI - Rebound1. Youda_Potential, Fortune_TD, Fortune Banker trend, Fortune Crown stage:
Analysis on weekly chart
10 Oct 2022 Youda Potential shows the midterm (brown line) is going downward, but the DJI index hit the green band, potential to be supported.
03 Oct 2022, Fortune TD show the green bar, there is a potential share pull back, if break out the high of green bar, rebound on weekly chart will be confirmed, the resistance is around 32278
03 Oct 2022, Fortune Crown security line is at bottom, still going down, there is no red dot yet.
03 Oct 2022, Fortune Banker trend, green line shows the banker chips flow in, but the short money still not yet gold cross its 5 days average. The red lines crossed above the green line, this is a positive signal for rebound.
Analysis on daily chart
Since the index potential be supported as shown in weekly chart, change the timeframe to daily chart for potential bottom catch oppurtunity.
13 Oct 2022, Youda Potential shows the midterm (brown line) is going down, and also the long term (red bad) downward trend. Thus, if index rise, this is considered as rebound in daily timeframe only.
Fortune TD green bar (share pull back signal) shows that its high was broken out on 13 Oct, this is a positive signal of the rebound.
Fortune Crown security (red dot) is rising from bottom, green candle (positive momentum) is going upward as well. The rebound is still ongoing unless the red dot disappear and green candle turn red.
Fortune Banker trend, red line is above green line and the short money gold cross its 5 days average. There is a bottom diverge on 13 Oct as well
2. Potential opportunity:
daily chart still in downtrend, but potential a rebound is in the progress. support 28855.
3. Summary:
Based on above analysis, the index is downtrend in daily timeframe, so weekly chart to identify the bottom area and support strength, instead of using daily chart for support and resistance.
Disclaimer : no recommendation of buy/sell, purely for TA learning and sharing.
Elliott Wave TD D-Wave Bearish Trend in EURUSDOANDA:EURUSD
Elliott Wave & TD D-Wave The perfect combination.
There was an Bull trend in wave C and a Bear trend in wave 3. as a result, wave 3 In a downtrend TDDWAVE, according to the counting order of "TDDWAVE", there can still be a downtrend as wave 3 normally moves like crazy, so it continues the downtrend. Expect it to go down to the level of 1 – 0.995 following the support tool.
The overview of Bitcoin nowThe overview of BINANCE:BTCUSDT now, when tools are put together, the 37k-39k area seems to be pretty strong support. If so, we are hopeful that the price will move up to the first target, which is expected to be around 63k-72k, while in the short term, there is a chance to be around 47k-49k. Let's wait and see what happens next.
The bearish countdown of Td sequential is completedTD sequential bearish countdown is completed, But, on the other hand, we are witnessing the completion of a new bearish setup. This may indicate that the downtrend will not finish soon. On the other hand, the Stoke RSI has a bearish crossover in the overbought area.
Toronto Dominion loosing bucks. Still a bank. TDSomething brewing on the horizon here. A wave or an end of a strange looking X.
We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in purple with invalidation in red. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe!
Bearish Bias for EURUSD with big pullbackEurusd hit liquidity block and 1.13 is likely to be reversal level for this move. Most likely it will crawl up to cover the newly formed inefficiency before the bearish trend will contoniue to years S1 pivot / TD projection.
Price might well end this year at Quarterly Camarilla L5 (S5) - I havent plotted thatbut it is inside of liquidity block.
Watch even round number levels - they tend to have more efficacy that odd round numbers.
This analysis area based on teachings of Chris Lori and Tom DeMark.
FOR EDUCATIONAL PURPOSES ONLY!
TD line and projectionHere you can see how to use Tom Demark trendline (that connnects peaks / thorough of more or less equal height / value) and projections.
Best of breakout occur with gaps. Prebreakout candle has to close close to the trendline and make a minor pullback before the break occurs.
If breakout candle has long rejection shadow - it will not work.
Projection are drawn from the lowest closing price to the TD line and then projected from breakout point.
You can also see how to use missed pivots that mark new trends (buy upon pullback to the next pivot) - after Rob Booker.