UUP Puts Almost In The Money, Broke 200 Day Moving Average. Moving Inversely w/ Market and Risk Appetite.

The USD Index broke through it's mother trend and 200d moving average recently. It moved inversely with the market, emergence of risk appetite and the commodity bid. The US Dollar Bullish ETF (UUP) also broke through those levels and closed at $24.63 on Friday.

US Dollar Index (Stockcharts.com)
UUP (Stockcharts.com)

I wrote before about all those puts open at the 24 strike (May and June). It looks like they could be in the money soon if there isn't a safe haven/deflation bid (read articles below). If it doesn't regain strength at $24.50 the next support levels reside at $23 and $24. UUP has 5,111 put contracts open at the May 24 strike, 5,562 at the June 24 strike and an interesting 3k block traded today w/ 11,604 open at the Sept 22 strike. 19,497 calls are open at the Sept $27 strike. Hopefully someone can exercise those 10,000 puts below $24 if bot. Time is running out for May.

UUP May Puts (Yahoo Finance, May 8, 2009)

UUP June Puts (Yahoo Finance)

UUP September Puts (Yahoo Finance)


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