Amazon (AMZN) shares retreat after wide Q2 earnings miss >>> READ MORE

Stock Picks – PowerShares DB US Dollar Index Bullish Fund-UUP



PowerShares DB US Dollar Index Bullish Fund (UUP) — This exchange-traded fund (ETF) seeks to track the price and yield performance, before fees and expenses, of the Deutsche Bank Long US Dollar Futures Index. 

UUP ChartChart Legend 

On Dec. 18, at $23.01, I said, “Curiously, the UUP double-bottomed at $22.02 on Nov. 25 and Dec. 1, closing [Dec. 17] at $23.03 after plowing through its 20- and 50-day moving averages on very high volume. From a technical point of view, it looks like the dollar has bottomed.”

And on Jan. 19, I said, “The dollar rallied, popping from its 20-day moving average on a gap-open. But UUP must close over $23 and then move above the 200-day moving average before a change in trend can be firmly recognized. Currently, though, the chart is in favor of a bullish turnaround with a target of $25-plus.”

The rally in early February accomplished both of these tasks, and the gold cross in late February and last week’s reversal from the 50-day moving average are confirmation that the trend for the dollar has changed to a strong bull market.

Buying volume is high, and the stochastic issued a buy signal Wednesday. The target for UUP remains at $25-plus.

Related Articles:

Double Your Money Every Week in 2010
Are you doubling your money with every trade you make? You should be! This 2010 trading guide will show you how, and it also details two money-doubling options trades to get you started. Download your FREE copy here.

Article printed from InvestorPlace Media,

©2017 InvestorPlace Media, LLC