PowerShares DB U.S. Dollar Index Bullish ETF (UUP)
The most obvious and direct way to play a rising U.S. dollar is to bet on the greenback. That’s most easily done through the PowerShares DB U.S. Dollar Index Bullish ETF (UUP).
This exchange-traded fund tracks an index comprised of six major world currencies: euro, Japanese yen, British pound, Canadian dollar, Swedish krona and Swiss franc. So when we talk about the U.S. dollar being weak or strong, we’re talking about the level and direction of the UUP.
UUP topped out at around $27 during the financial crisis, but years of Fed easing brought it down to $21.50 at the end of 2013. Since then however, UUP is up nearly 2% and looks poised for more gains.