After The Close, 04 Sept 2008
Merv’s Daily Uranium Index
Market Data
Open: 211.16
Hugh: 214.25
Low: 198.42
Close: 203.33
Volume: 4725
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
The stocks keep moving lower. The Index reached a new bear market low today, both in terms of the daily low and the daily close. The daily low breached the lower support from the “box” but closed back inside the box so I would not call it a valid break yet but give it another day to verify. I thought I’d go back and show a more expanded chart today for no other reason than it was getting boring showing the same chart over and over again. I did not go all the way back to the bull market top, that occurred on April 10, 2007 at 616.2 on the Index. So, at this point we are down by 67%. There are, of course, stocks that are down much more than that and others that are down a lot less, but without checking I would suggest that all of the 50 component stocks are down to some degree. Bear markets drag down the good with the bad.
Yesterday I suggested I might go back to the P&F chart to see if there were any valid reasonable lower projections other than the long established 190 projection. Well, there was another one. The 160 level could be calculated as the next long term projection, and it could be calculated two different ways so one should pay attention to it.
The Merv’s Daily Uranium Index closed lower by 7.87 points or 3.72%. A reasonable drop for one day. There were only 8 winners on the day and 35 losers with 7 unchanged. Of the five largest stocks all were in the losers column. Cameco lost 7.5%, Denison lost 3.9%, First Uranium lost 4.6%, Paladin lost 8.4% and Uranium Participation lost 1.3%. The best winner on the day barely got into the plus side. Nuinsco Resources gained all of 2.4%. The worst loser was Crosshair Exploration with a loss of 11.6%.
Everything for the intermediate term have now gone over into the negative. Moving average, momentum and trigger, volume indicator and its trigger, all negative. The intermediate term rating remains BEARISH.
As for the short term, here too everything is now negative. The short term is back to a BEARISH rating.
On the immediate direction of least resistance, well that is also to the down side, surprise. The Stochastic Oscillator has taken a sharp plunge and is very close to entering its oversold zone, but not quite yet. May be tomorrow.
Merv’s Daily Uranium Index
Market Data
Open: 211.16
Hugh: 214.25
Low: 198.42
Close: 203.33
Volume: 4725
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
The stocks keep moving lower. The Index reached a new bear market low today, both in terms of the daily low and the daily close. The daily low breached the lower support from the “box” but closed back inside the box so I would not call it a valid break yet but give it another day to verify. I thought I’d go back and show a more expanded chart today for no other reason than it was getting boring showing the same chart over and over again. I did not go all the way back to the bull market top, that occurred on April 10, 2007 at 616.2 on the Index. So, at this point we are down by 67%. There are, of course, stocks that are down much more than that and others that are down a lot less, but without checking I would suggest that all of the 50 component stocks are down to some degree. Bear markets drag down the good with the bad.
Yesterday I suggested I might go back to the P&F chart to see if there were any valid reasonable lower projections other than the long established 190 projection. Well, there was another one. The 160 level could be calculated as the next long term projection, and it could be calculated two different ways so one should pay attention to it.
The Merv’s Daily Uranium Index closed lower by 7.87 points or 3.72%. A reasonable drop for one day. There were only 8 winners on the day and 35 losers with 7 unchanged. Of the five largest stocks all were in the losers column. Cameco lost 7.5%, Denison lost 3.9%, First Uranium lost 4.6%, Paladin lost 8.4% and Uranium Participation lost 1.3%. The best winner on the day barely got into the plus side. Nuinsco Resources gained all of 2.4%. The worst loser was Crosshair Exploration with a loss of 11.6%.
Everything for the intermediate term have now gone over into the negative. Moving average, momentum and trigger, volume indicator and its trigger, all negative. The intermediate term rating remains BEARISH.
As for the short term, here too everything is now negative. The short term is back to a BEARISH rating.
On the immediate direction of least resistance, well that is also to the down side, surprise. The Stochastic Oscillator has taken a sharp plunge and is very close to entering its oversold zone, but not quite yet. May be tomorrow.
3 comments:
Thanx again .
So what does one due if they are still holding some of there U3O8 stocks? Thanks in advance
At this point in the bear market it depends upon the indivudual stocks. Some are in bottoming process and those, if one did not get out, one would hold BUT get out if the price breaks below the bottoming process. Others are still in well defined down trends so why hold on to them? Some are even in early stages of a possible turn around. These too one would hold on to but get out if they once more turn down. After a 67% drop in the Index, I guess it's a little late to be thinking what to do but that's what investment advisers or portfilio managers should be advising you. I am neither and would not get involved with direct advice to individuals.
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