“Considering the dollar’s decline, it’s not surprising to find accelerated put buying on UUP lately. On the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), UUP’s 10-day put/call volume ratio is in the 90th percentile of its annual range, pointing to a much healthier-than-usual appetite for bearish bets over bullish during the past two weeks,” according to Schaeffer’s.
Over the past 90 days, investors have pulled $124.5 million from UUP.
Traders considering a bearish position on the dollar can consider the PowerShares DB US Dollar Index Bearish (NYSEArca: UDN), an inverse though not leveraged bet against the greenback.
For more information on the USD, visit our U.S. dollar category.