Jun
10
2009

  Time To Buy UUP?

I've had my eye on another currency ETF, this time bullish on the dollar (ticker symbol UUP). Today could be the last day of the 13-day TD Countdown for that security.

The Treasury Dept had its auction of 10-yr notes, and the yields got fairly high (I think 3.99%). Macroeconomically, I think that suggests the Fed will start printing more money and the dollar will weaken. But it takes me a long time to figure out macroeconomic stuff, usually Terry just fills me in on what's going on. That's why I trade technically, it's easier for me to follow. But still, I feel better buying something when there is a macroeconomic reason to get into the sector.

I can find excuses to not buy UUP, it's traded at a somewhat lower volume than I prefer, I could wait for various TD confirmations to buy, whatever. We're getting close to the close of market, so I'll have to make a decision on whether I'm going to pull the trigger to buy at the close of day 13 or not.

By the way, oil is still on the way up, it's sell countdown recycled, so I'm still holding that, we could be another two weeks away from me taking profits on that. But I'm watching it closely.