After The Close, 05 Aug 2008
Merv’s Daily Uranium Index
Market Data
Open: 231.84
Hugh: 233.83
Low: 217.82
Close: 222.72
Volume: 4531
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
For all you technical followers who have been sitting on the sidelines zipping your beer and enjoying life, today justified such action. The uranium stocks too a dive today, probably in sympathy with other energy stocks. More and more it seems that the P&F chart projection to the 190 level may come to past, and maybe sooner than we expect.
Today starts the Merv’s Daily Uranium Index at the revised version. The 50 stocks in the Index are the top 50 stocks traded on the North American markets based upon market value over the week-end. Just before starting on this daily commentary I’ve come up with one new stock that I had missed somehow. Uranium 308 Corp trading on the OTC BB has a market value that would place it in the top 50 and has just enough trading history to place it there. Sometimes over the next few days I will be replacing RPT Uranium (one of the new component stocks) with Uranium 308. You can see the new list tomorrow evening when I post the Daily Uranium Table.
The Merv’s Daily Uranium Index closed lower by 14.12 points or 5.96%. There were only 7 winners today while the losers totaled 40. Three stocks gave up the struggle and went nowhere. During the Index revision one of the top five has been replaced. Uranium One has dropped to 8th place and Uranium Participation has taken over the 5th spot. Of these top 5 stocks, Cameco lost 5.2%, Denison lost 11.4%, First Uranium lost 0.9%, Paladin lost 14.0% and Uranium Participation lost 6.1%. The best performer on the day was Crosshair with only a 2.1% gain while the worst performer was Quaterra with a 21.3% loss.
As you can imagine, everything continues to be negative on the intermediate term. Index below a negative moving average line, momentum in the negative zone below its negative trigger line and volume indicator moving lower below its negative trigger line. The intermediate term rating remains BEARISH.
On the short term it’s all the same as for the intermediate term. The biggest difference between the two time periods is the momentum indicator. On the short term it is well inside its oversold zone from which rallies can be expected. A rally most likely will take place from the oversold zone but only the timing is unknown. It’s not unusual for the Index to remain in a downward path while the momentum moves inside its oversold zone for days or even weeks. Again, on the short term the rating remains BEARISH.
Boy, my immediate term direction in the last commentary was a little off base, okay, it was a lot of base. I had the moving average information right and should have stayed bearish as long as the Index was below the very short term moving average line. I relied too much on the aggressive Stochastic Oscillator, which was continuing to head in an upward direction. It took a plunge today to be with the other indicators. The immediate direction of motion is to the down side until it crosses the very short term moving average line to the up side.
Merv’s Daily Uranium Index
Market Data
Open: 231.84
Hugh: 233.83
Low: 217.82
Close: 222.72
Volume: 4531
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
For all you technical followers who have been sitting on the sidelines zipping your beer and enjoying life, today justified such action. The uranium stocks too a dive today, probably in sympathy with other energy stocks. More and more it seems that the P&F chart projection to the 190 level may come to past, and maybe sooner than we expect.
Today starts the Merv’s Daily Uranium Index at the revised version. The 50 stocks in the Index are the top 50 stocks traded on the North American markets based upon market value over the week-end. Just before starting on this daily commentary I’ve come up with one new stock that I had missed somehow. Uranium 308 Corp trading on the OTC BB has a market value that would place it in the top 50 and has just enough trading history to place it there. Sometimes over the next few days I will be replacing RPT Uranium (one of the new component stocks) with Uranium 308. You can see the new list tomorrow evening when I post the Daily Uranium Table.
The Merv’s Daily Uranium Index closed lower by 14.12 points or 5.96%. There were only 7 winners today while the losers totaled 40. Three stocks gave up the struggle and went nowhere. During the Index revision one of the top five has been replaced. Uranium One has dropped to 8th place and Uranium Participation has taken over the 5th spot. Of these top 5 stocks, Cameco lost 5.2%, Denison lost 11.4%, First Uranium lost 0.9%, Paladin lost 14.0% and Uranium Participation lost 6.1%. The best performer on the day was Crosshair with only a 2.1% gain while the worst performer was Quaterra with a 21.3% loss.
As you can imagine, everything continues to be negative on the intermediate term. Index below a negative moving average line, momentum in the negative zone below its negative trigger line and volume indicator moving lower below its negative trigger line. The intermediate term rating remains BEARISH.
On the short term it’s all the same as for the intermediate term. The biggest difference between the two time periods is the momentum indicator. On the short term it is well inside its oversold zone from which rallies can be expected. A rally most likely will take place from the oversold zone but only the timing is unknown. It’s not unusual for the Index to remain in a downward path while the momentum moves inside its oversold zone for days or even weeks. Again, on the short term the rating remains BEARISH.
Boy, my immediate term direction in the last commentary was a little off base, okay, it was a lot of base. I had the moving average information right and should have stayed bearish as long as the Index was below the very short term moving average line. I relied too much on the aggressive Stochastic Oscillator, which was continuing to head in an upward direction. It took a plunge today to be with the other indicators. The immediate direction of motion is to the down side until it crosses the very short term moving average line to the up side.
1 comment:
Thank you for post. Food for thought.
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