After The Close, 23 Feb 2009
Merv’s Daily Uranium Index
Market Data
Open: 135.62
High: 137.12
Low: 126.87
Close: 128.92
Volume: 3528
Note that the volume is an average volume of round lot sales for the 5 0 component stocks. For total volume, multiply by 5000.
Not looking so good. Another down day and both the “box” and the up trending channel (not shown today, see the week-end chart) will be broken on the down side. The day’s low did break below the supports but I like to see it close below the support lines before calling it a valid break.
The Merv’s Daily Uranium Index closed lower by 5.08 points or 3.79% for its worst daily move in some time. There were 13 winners, 29 losers and 8 going nowhere. Surprisingly, a couple of the five largest closed on the up side. Cameco lost 6.1%, Paladin lost 8.1%, Uranium One gained 2.2%, Uranium Participation gained 0.8% and USEC lost 2.9%. The best daily performer was Wescan Goldfields with a gain of 15.6% while the worst loser was Strathmore Minerals with a loss of 16.1%.
The intermediate term indicators took a little bit of a hit today. The Index closed below its moving average line and the line has now turned to the horizontal. It would not take more than a very small decline in the Index to have the moving average line slope change to the down side from here. In addition the Index` closed at its lowest close level since the rally in early January. The momentum indicator is confirming the Index decline by moving below its support since early January. It remains in its negative zone below its negative trigger line. As for the volume indicator, it has now dropped below its trigger line although the trigger is still slightly positive. All in all, the intermediate term has turned back to the BEARISH side.
On the short term the Index is moving away from the moving average line and the line continues to increase its negative slope. The momentum indicator continues to move lower inside its negative zone and below its negative trigger line. The daily volume action is low but that is normal and to be expected during a declining market. The short term rating can only continue to be BEARISH.
As for the direction of least resistance, I will still call it lateral although there is very definitely a negative bias in the indicators and Index direction. I’ll give it one more day to perk up.
Merv’s Daily Uranium Index
Market Data
Open: 135.62
High: 137.12
Low: 126.87
Close: 128.92
Volume: 3528
Note that the volume is an average volume of round lot sales for the 5 0 component stocks. For total volume, multiply by 5000.
Not looking so good. Another down day and both the “box” and the up trending channel (not shown today, see the week-end chart) will be broken on the down side. The day’s low did break below the supports but I like to see it close below the support lines before calling it a valid break.
The Merv’s Daily Uranium Index closed lower by 5.08 points or 3.79% for its worst daily move in some time. There were 13 winners, 29 losers and 8 going nowhere. Surprisingly, a couple of the five largest closed on the up side. Cameco lost 6.1%, Paladin lost 8.1%, Uranium One gained 2.2%, Uranium Participation gained 0.8% and USEC lost 2.9%. The best daily performer was Wescan Goldfields with a gain of 15.6% while the worst loser was Strathmore Minerals with a loss of 16.1%.
The intermediate term indicators took a little bit of a hit today. The Index closed below its moving average line and the line has now turned to the horizontal. It would not take more than a very small decline in the Index to have the moving average line slope change to the down side from here. In addition the Index` closed at its lowest close level since the rally in early January. The momentum indicator is confirming the Index decline by moving below its support since early January. It remains in its negative zone below its negative trigger line. As for the volume indicator, it has now dropped below its trigger line although the trigger is still slightly positive. All in all, the intermediate term has turned back to the BEARISH side.
On the short term the Index is moving away from the moving average line and the line continues to increase its negative slope. The momentum indicator continues to move lower inside its negative zone and below its negative trigger line. The daily volume action is low but that is normal and to be expected during a declining market. The short term rating can only continue to be BEARISH.
As for the direction of least resistance, I will still call it lateral although there is very definitely a negative bias in the indicators and Index direction. I’ll give it one more day to perk up.
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