The Federal Reserve raised interest rates in March, following three hikes last year, and some market observers believe the number could rise to four this. Higher Treasury yields can lead to a stronger dollar. Data suggest some options traders are positioning for just that.

“Nevertheless, the fund’s 200-day moving average is just overhead, which is currently docked at $24. UUP hasn’t closed above its 200-day moving average since last May, while the $24 level served as a floor back in May 2016, and again at the start of of this year. Options traders have targeted this strike, too, with the June 24 call home to peak open interest of 39,680 contracts,” according to Schaeffer’s.

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.