The Strong Dollar – How to Profit and Offset Stock Losses

[TradeSmith Daily]( The Strong Dollar — How to Profit and Offset Stock Losses Most investors tend to shy away from trading currencies because they don’t understand how to buy and trade them. There’s nothing wrong with that reasoning, as the most important rule of investing is to only invest in what you understand. But at the same time, when you hear about the surging U.S. dollar, you can’t help but wonder if there’s a way to profit that doesn’t require anything more complicated than your current brokerage account. Fortunately, there are currency ETFs that can be bought and sold just like stocks. You don’t have to open a new account.You don’t have to worry about a lack of transparency or security with your trades. And you can still make money. Today, we’ll show you how currency ETFs can fit into any portfolio. RECOMMENDED LINK [“THIS IS THE ONLY TRADE I’M MAKING RIGHT NOW”]( No matter what chaos is unfolding it’s paying with an 89.47% win-rate. In this short video you’ll watch as I instantly make $980 with just a few clicks. [Click here now to watch the demo]( How to Use Currency ETFs Currency ETFs can be used in two ways: for speculation (profiting off a currency’s price action) or for hedging (reducing risk linked to a currency’s price action). For speculation, if you expect the U.S. dollar to continue to strengthen, you could buy shares of the Invesco DB US Dollar Index Bullish Fund (UUP), which tracks the movement of the U.S. dollar relative to other major currencies. Since the start of the year, UUP has gone up nearly 18%. Plus, it’s in our Green Zone and in an uptrend, meaning it’s in a healthy state and on a bullish path. But that bullish path for the dollar can end up being bearish for many stocks, particularly those with international operations. The stronger the U.S. dollar, the more expensive it is for folks overseas to buy U.S. products. That can pinch demand, which then can cause profits, and the stock price, to drop. Take Walmart Inc. (WMT), for example. The company said that in the second quarter, international sales were negatively impacted by $1 billion from currency fluctuations. If you bought WMT shares at the beginning of the year, you’d be down 3% by now — not as bad as the roughly 25% drop of the S&P 500, but still not ideal. But with a currency hedge, you could have avoided this loss. The 18% gain of UUP would have been enough to pull your portfolio out of the negative numbers and into the profit zone. RECOMMENDED LINK [New “Crash Alert” for the S&P 500]( [Over 65,000 investors around the world recently saw an alert flash across their computer screens](. The last time this happened was in February 2020 – a week before stocks crashed 30% into the fastest bear market in history. And it’s your signal that history may be about to repeat itself... And cause a wave of devastation for some of the world’s most beloved stocks. The financial lives of hundreds of thousands hang in the balance. And the decisions you make in the coming days could determine your wealth for the next decade. [Here’s the #1 step to take with your money to prepare](. [See this dire “crash alert” for the S&P before the next opening bell](. The gains from a currency hedge might not perfectly offset the losses of every retail stock or every company whose sales have suffered from a stronger U.S. dollar, but they can help make those losses a little less painful. While the world of trading currencies is complex, we hope this at least provides a starting point for understanding it and finding new investment opportunities within it. Take care, Team TradeSmith P.S. While you’re investigating currencies, now may be the absolute best time to start strengthening your cryptocurrency positions, according to one millionaire crypto expert. He says the market is poised for a likely crypto comeback because historically, on the other side of every painful dip, cryptos like bitcoin have come back roaring, often to new heights. In fact, he’s a discovered a tiny $2 coin set to totally disrupt a multitrillion-dollar industry. [Click here]( to learn the identity of this coin and to see complete details on how to profit from the coming crypto revolution. Best of TradeSmith The chart below represents the best-performing open positions over the last two years, as recommended by our software. [Download now on the Apple Store]( [Get It On Google Play]( [866.385.2076](tel:+866-385-2076) | support@tradesmith.com ©TradeSmith, LLC. All Rights Reserved. You may not reproduce, modify, copy, sell, publish, distribute, display or otherwise use any portion of the content without the prior written consent of TradeSmith. 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