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My indicators are giving neutral readings for the second week in a row, but the longer-term reading of advancing issues versus declining issues does look very positive, and that suggests that the market will continue to rally following this period of consolidation.

Their relative-strength indicators are showing that the Nasdaq and Russell got somewhat overbought lately, but we do not want to try to buck the trend. Despite some of the turbulence over the last few days, including the multi-day pullback in the Dow Jones, the trend remains to the upside, and I’m still leaning towards the bullish camp.

Elsewhere, the U.S. dollar is still struggling with resistance at the 94 level, so I’m looking to another currency for today’s bullish play:

Sell to open the Guggenheim CurrencyShares Australian Dollar ETF (NYSEARCA:FXA) July 20th $73 put at about $0.30.

I think the U.S. dollar is going to fall from here, so I’m more interested in foreign currencies. They move much more slowly than people think, and that’s what you want in a put write. There’s not going to be much volatility in FXA.

So, we’ll look to collect some put premium upfront with this position, and keep holding through expiration as long as FXA remains above our $73 strike price. In that event, we would simply walk away with no further obligation and full profits.

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Ken Trester is editor of the popular Maximum Options program. Trester has been trading options since the first exchanges opened in 1973 with a winning streak that goes back to 1984 with money-doubling average annual profits since 1990.