July 22, 2011
Shares of the ETF Powershares US Dollar Index (NYSE: UUP) are nearing their correction lows at just below $21.00.
UUP has been in a sideways pattern since reaching those lows in late April 2011.
Over the past several months, UUP had been making a series of higher closing lows, creating a rising trend support line.
This line has now been decisively broken.
The gap down decline on Thursday, July 21, closed at $21.13, only about 1.5% above the correction closing low of $21.85 reached on April 29.
A break of support could see UUP decline to $20.56 in the short term, and as low as $20.20 before support is reached.
The Fibtimer.com (http://www.fibtimer.com) ETF Timing Strategy does not have a position in the Powershares Double US Dollar Index ETF.