Going in local currency I have always thought was the best move since you can't get hammered with the unnecessary conversion to USD, "for your convienence". You can then use your schwab/cap one card to avoid forex fees. Although I'm still skeptical when you book your room on a site in USD, they quote you your charges in local currency, which may have already been exchanged at their inflated rate.

It has a lot of room for wiggle room if you aren't careful. Even if you are careful there are still ways to hit the nut under the shell.