Eyeing That Gold and Silver
The U.S. dollar still can't get out of its own way. That's good news for market bulls so far, and also good news for some gold and silver miners. So, here's the question: Is the dollar oversold and ready for a bounce, or will it stay oversold for a while?
The dollar index fell below its 50-day moving average in late January. It's not a picture of technical health at the moment, but it continues to hold above its 200-day moving average around 77. The index was recently trading around 78.25, down 0.4%. Meanwhile, the PowerShares DB U.S. Dollar Bullish Index Fund (UUP) is at an inflection point. Shares closed Tuesday at $21.78, pretty much right at the 200-day moving average. If it finds support here, and starts heading higher, expect some softness in the major averages ahead. If it doesn't, it'll be more good news for stock-market bulls....491 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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