InTheMoneyStock...'s  Instablog
Send Message
InTheMoneyStocks.Com is a research and consulting company focused on mathematical proprietary techniques along with a key understanding of price, pattern and time. Through understanding geometry and other technical analysis methods, InTheMoneyStocks.Com prides itself on avoiding Wall Street hype... More
My company:
My blog:
Pro Traders Rant and Rave Blog
  • Falling U.S. Dollar Saves The Markets Again 0 comments
    Apr 16, 2012 3:36 PM | about stocks: SSO, DDM, UUP

    The most important chart that anyone can follow is a chart of the U.S. Dollar Index. The major stock indexes and most leading commodities will usually trade inverse to the world's reserve currency. For over ten years now the general stock market direction has moved opposite or inverse to the U.S. Dollar Index.

    This morning, the U.S. Dollar Index futures (DX-M2) topped out shortly after the opening bell rang at the New York Stock Exchange. When the U.S. Dollar Index declined that is exactly when the S&P 500 Index and the popular Dow Jones Industrial Average rallied higher. This is very evident by comparing a chart of the PowerShares DB US Dollar Index Bullish (NYSEARCA:UUP) against the ProShares Ultra S&P500 (ETF) (NYSEARCA:SSO), and the ProShares Ultra Dow30 (ETF) (NYSEARCA:DDM). Traders should remember that the opposite effect can be seen when the U.S. Dollar Index trades higher, the major stock indexes will deflate and decline lower.

    Nicholas Santiago

    (click to enlarge)

    Stocks: SSO, DDM, UUP
Back To's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


  • Utility #stocks leading markets higher despite slightly higher yields in the 10-year U.S. #Treasury. $SO, $ED, $XLU all higher today.
    Apr 20, 2015
  • $YELP Forming Bearish Chart....
    Apr 13, 2015
  • $WMT bearish base, daily 200-day ma. Should drop to the $78.00 level & present a good entry level to buy the stock.
    Apr 10, 2015
More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.