Undoing the UUP vs. SHV Mistake

After noting a re-buy of the UUP position on the USD pullback, a couple of sharp subscribers asked in essence “why UUP instead of adding more SHV?”, which sports one of my favorite charts. I did not really have a good answer, especially since profits had already been taken in UUP and the pullback I bought was not substantial. I guess I was speculating. Here is the better ‘cash’…


So today I am admitting my error, and that includes the possibility UUP/USD could go back up tomorrow.

The error was in not taking the free money the Fed is giving me for my cash equivalents and instead speculating in the US dollar. So I am going to go sign up for more of that now.

Here is the other issue I have. While the Euro is still below a down turned SMA 50, it’s better to be holding the T-Bill instrument than a USD index fund from a risk vs. reward standpoint. Euro is breaking a trend line and regardless of whether or not it fails, it’s not worth the risk. So kudos to two subscribers who questioned my judgement.


Subscribe to NFTRH Premium for an in-depth weekly market report, interim updates and NFTRH+ chart and trade ideas; or the free eLetter for an introduction to our work. You can also keep up to date with plenty of actionable public content at NFTRH.com by using the email form on the right sidebar. Or follow via Twitter @BiiwiiNFTRH, StockTwits or RSS. Also check out the quality market writers at Biiwii.com.