@gary, what is the difference between holding usd or buying UUP etf? I was doing some preparation for later this year and wondered about this.
Gary June 21, 2022
Well for me it is that holding USD is prep for deploying USD. I think I had UUP at one point last year as Uncle Buck got bullish but of course sold it way too soon. Now risk vs. reward holding a USD price tool is not good IMO.
Armen June 24, 2022
If I may add to Gary’s answer: UUP tracks DX – relative strength of USD against basket of foreign currencies. So if you have $1, then in one month time you will still have $1. But if you bought $1 worth shares of UUP then depending on strength of USD against foreign currencies (mainly euro) you may end up with more or less than $1 one month later. Obviously you are also paying fees to UUP etf. @Gary: is low of Sep 21 (224) becomes new support zone from chart guy point of view? Btw, Aussie miners 10% from COVID lows, and recent production updates tell the same thing: cost of diesel, workforce shortage.
@gary, what is the difference between holding usd or buying UUP etf? I was doing some preparation for later this year and wondered about this.
Well for me it is that holding USD is prep for deploying USD. I think I had UUP at one point last year as Uncle Buck got bullish but of course sold it way too soon. Now risk vs. reward holding a USD price tool is not good IMO.
If I may add to Gary’s answer: UUP tracks DX – relative strength of USD against basket of foreign currencies. So if you have $1, then in one month time you will still have $1. But if you bought $1 worth shares of UUP then depending on strength of USD against foreign currencies (mainly euro) you may end up with more or less than $1 one month later. Obviously you are also paying fees to UUP etf.
@Gary: is low of Sep 21 (224) becomes new support zone from chart guy point of view? Btw, Aussie miners 10% from COVID lows, and recent production updates tell the same thing: cost of diesel, workforce shortage.