Short Euro ETF on the Move

Our Model Portfolio has been short the Euro via an inverse long position in EUO (Double Short Euro/USD ETF) at 21.60 since 9/25/17. Let's notice on the enclosed daily chart that EUO has thrust to the upside today in reaction to both the ECB tapering timetable-- scaling back its bond-buying QE program-- and to additional evidence provided by today's House of Representatives "yes" vote on the budget that the Republican majority might actually pass tax cut legislation (which investors believe trigger faster economic growth and higher interest rates, both Dollar-positive).

From a big picture technical perspective, let's notice on the enclosed daily chart that EUO has thrust to the upside from its three month base-like accumulation pattern, and has established a new multi-month high at 22.78. Today's action triggers a next upside target in the vicinity of 23.00-23.20.