After The Close, 31 March 2008
Another down day in the uranium stocks, this one making a new bear market closing low. Although it closed at a new low the intra-day low was not a new low but just slightly above the intra-day low of 20 March. Since reaching its high on 10 April 2007 the Daily Index has declined more than 50% (56% exactly).
Technicians love anything to do with the Fibonacci series of numbers. From this we get a series of percentages that are referred to as the Fibonacci Percentage Retracements. They imply how far we could expect a reaction in price to go. The most common of these retracement percentages include the 33%, 50% and 67% retracements. These are usually taken as retracements of the previous bull market move. As the bull in uranium started several years ago and the Index would have been at about the 0.04 level (based upon the Weekly Index information applied to the Daily Index) we could just use the Index high and take a direct retracement from it. We are now past the 50% retracement level (although the Weekly Index is only at 52%) the next retracement target would be the 67% retracement level or 2.03 on the Index. That is not far from the next P&F projection which was the 1.90 level. Fun and games with numbers.
The Merv’s Daily Uranium Index closed lower by 0.051 points or 1.84%. There were 10 winners, 39 losers and 1 unchanged. The five largest stocks were mixed on the day with Cameco gaining 0.4%, Denison losing 2.9%, First Uranium gaining 1.7%, Paladin losing 4.4% and Uranium One losing 14.0%. The best performer on the day was Altius Minerals with only a 6.0% gain while the worst performer was Yellowcake Mining with an 18.2% loss.
The daily loss did nothing for the intermediate term chart or indicators. The Index is still below its negative sloping moving average line and the momentum remains in its negative zone below its negative trigger line. Even the volume indicator is below its negative sloping trigger line and continuing lower in a lower low, lower high zig-zag manner. The intermediate term rating remains BEARISH.
As for the short term, nothing has really changed here either. The Index is below its negative sloping moving average line and the momentum indicator remains in its negative zone below its negative sloping trigger line and inside its oversold zone. The more aggressive Stochastic Oscillator has now turned down and has crossed back into its negative zone and below its trigger line. The trigger has also turned downward. Everything tells us that the short term rating remains BEARISH.
Another down day in the uranium stocks, this one making a new bear market closing low. Although it closed at a new low the intra-day low was not a new low but just slightly above the intra-day low of 20 March. Since reaching its high on 10 April 2007 the Daily Index has declined more than 50% (56% exactly).
Technicians love anything to do with the Fibonacci series of numbers. From this we get a series of percentages that are referred to as the Fibonacci Percentage Retracements. They imply how far we could expect a reaction in price to go. The most common of these retracement percentages include the 33%, 50% and 67% retracements. These are usually taken as retracements of the previous bull market move. As the bull in uranium started several years ago and the Index would have been at about the 0.04 level (based upon the Weekly Index information applied to the Daily Index) we could just use the Index high and take a direct retracement from it. We are now past the 50% retracement level (although the Weekly Index is only at 52%) the next retracement target would be the 67% retracement level or 2.03 on the Index. That is not far from the next P&F projection which was the 1.90 level. Fun and games with numbers.
The Merv’s Daily Uranium Index closed lower by 0.051 points or 1.84%. There were 10 winners, 39 losers and 1 unchanged. The five largest stocks were mixed on the day with Cameco gaining 0.4%, Denison losing 2.9%, First Uranium gaining 1.7%, Paladin losing 4.4% and Uranium One losing 14.0%. The best performer on the day was Altius Minerals with only a 6.0% gain while the worst performer was Yellowcake Mining with an 18.2% loss.
The daily loss did nothing for the intermediate term chart or indicators. The Index is still below its negative sloping moving average line and the momentum remains in its negative zone below its negative trigger line. Even the volume indicator is below its negative sloping trigger line and continuing lower in a lower low, lower high zig-zag manner. The intermediate term rating remains BEARISH.
As for the short term, nothing has really changed here either. The Index is below its negative sloping moving average line and the momentum indicator remains in its negative zone below its negative sloping trigger line and inside its oversold zone. The more aggressive Stochastic Oscillator has now turned down and has crossed back into its negative zone and below its trigger line. The trigger has also turned downward. Everything tells us that the short term rating remains BEARISH.
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