After The Close, 12 Jan 2009
Merv’s Daily Uranium Index
Market Data
Open: 144.13
High: 145.42
Low: 136.16
Close: 138.62
Volume: 4962
Note that the volume is an average volume of round lot sales for the 5 0 component stocks. For total volume, multiply by 5000.
Getting a little scary out there. Another day and another downer but the charts and indicators keep our heads level.
The Merv’s Daily Uranium Index closed lower by 6.83 points or 4.70%. There were only 5 winners with 40 losers and 5 going nowhere. Not a good picture as far as the daily statistics are concerned. As for those five largest stocks by market value, Cameco lost 4.0%, Paladin lost 6.5%, Uranium One lost 8.2%, Uranium Participation lost 2.4% and USEC lost 1.9%. The best of the five winners was Continental Precious with a gain of only 6.0%. The worst of the 40 losers was Bayswater Uranium with a loss of 28.0%.
Although the uranium stocks were down for the day this was not unexpected. There is still some gap between the support and where the Index closed today so a little more down side would again not be unexpected and nothing to get too worried about, at least at this point. The Index is still above its intermediate term positive sloping moving average line and the momentum indicator remains just below its neutral line but also just above its positive trigger line. The momentum indicator is also still above its well defined up trend line which is a good omen. The volume indicator remains in a positive mode being above its positive trigger line. All in all, the intermediate term rating remains BULLISH.
On the short term the Index is sitting right on top of the moving average line and the line remains positive. The momentum indicator, which crossed below its overbought line a few days back, continues to move lower but is still in its positive zone. It is below its negative sloping trigger line. The daily volume action is what one would expect during a reaction following a sharp upward move. Although getting close to a downgrade the short term rating remains BULLISH for another day.
As for the immediate direction of least resistance, well that could be said to be to the down side but I don’t see too much down side left (although there still could be some). I’ll go with the lateral direction for another day.
Looking over those stocks that were recently written up I don’t yet see a danger in a collapse. The prices have come down as expected during a rest period and they may be in very good position for accumulation here. The early stage of a possible new move is always the more dangerous as whip-saw effects do happen and stocks can quickly reverse their trends. Always keep an exit strategy current just in case.
Merv’s Daily Uranium Index
Market Data
Open: 144.13
High: 145.42
Low: 136.16
Close: 138.62
Volume: 4962
Note that the volume is an average volume of round lot sales for the 5 0 component stocks. For total volume, multiply by 5000.
Getting a little scary out there. Another day and another downer but the charts and indicators keep our heads level.
The Merv’s Daily Uranium Index closed lower by 6.83 points or 4.70%. There were only 5 winners with 40 losers and 5 going nowhere. Not a good picture as far as the daily statistics are concerned. As for those five largest stocks by market value, Cameco lost 4.0%, Paladin lost 6.5%, Uranium One lost 8.2%, Uranium Participation lost 2.4% and USEC lost 1.9%. The best of the five winners was Continental Precious with a gain of only 6.0%. The worst of the 40 losers was Bayswater Uranium with a loss of 28.0%.
Although the uranium stocks were down for the day this was not unexpected. There is still some gap between the support and where the Index closed today so a little more down side would again not be unexpected and nothing to get too worried about, at least at this point. The Index is still above its intermediate term positive sloping moving average line and the momentum indicator remains just below its neutral line but also just above its positive trigger line. The momentum indicator is also still above its well defined up trend line which is a good omen. The volume indicator remains in a positive mode being above its positive trigger line. All in all, the intermediate term rating remains BULLISH.
On the short term the Index is sitting right on top of the moving average line and the line remains positive. The momentum indicator, which crossed below its overbought line a few days back, continues to move lower but is still in its positive zone. It is below its negative sloping trigger line. The daily volume action is what one would expect during a reaction following a sharp upward move. Although getting close to a downgrade the short term rating remains BULLISH for another day.
As for the immediate direction of least resistance, well that could be said to be to the down side but I don’t see too much down side left (although there still could be some). I’ll go with the lateral direction for another day.
Looking over those stocks that were recently written up I don’t yet see a danger in a collapse. The prices have come down as expected during a rest period and they may be in very good position for accumulation here. The early stage of a possible new move is always the more dangerous as whip-saw effects do happen and stocks can quickly reverse their trends. Always keep an exit strategy current just in case.
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