Uranium Companies

There are very few pure uranium companies. Most companies, especially the small exploration type, are active in more than the uranium industry. This blog makes no attempt to guage the percentage of a companies activity that are related to the finding, mining or processing of uraniun. They all do, however, have some uranium activities (to the best of our review).

Merv's Uranium Indices

I have developed two Uranium Indices. They each have the same component stocks but are calculated using different methodologies. My weekly Index is based upon the average weekly performance of the component stocks. My daily Index is based upon the daily average of the component stocks open, high, low and close prices along with the daily average volume of all component stocks.

Click on the chart or table to enlage the view.

21 September 2009

Merv's Daily Commentary 21 Sept 2009

After The Close, 21 Sep 2009

Merv’s Daily Uranium Index
Market Data

Open: 177.59
High: 181.38
Low: 174.16
Close: 178.61
Volume: 4719

Note that the volume is an average volume of round lot sales for the 5 0 component stocks. For total volume, multiply by 5000.

The Daily Index started on the down side but finished on the up side. It may have closed below Friday’s close but was up versus its opening price today. You can tell from the candlestick by the fact that it is red (down versus previous close) and the rectangular bar is open (close higher than open). This is where the candlestick has an advantage over the normal bar charts, its visual effect.

So, are we into another bummer or is this really just a rest period to be reversed any day now? If I really knew the answer to that question I could make a mint in the options market. But being just a regular Joe reading the charts and indicators I can only go with what is happening NOW and maybe guess what that means for the future. If I can get those guesses above the 50% mark I would be quite happy.

The Merv’s Daily Uranium Index closed just a little lower on the day. The Index declined 1.09 points or 0.61%. There were 14 winners, 29 losers and 7 nothings. As for those five largest stocks, Cameco gained 1.1%, First Uranium lost 4.2%, Paladin lost 0.7%, Uranium One lost 4.2% and Uranium Participation lost 1.4%. The best winner today was Pitchstone with a gain of 10.1% while today’s loser was Strateco with a loss of 9.2%.

The Index slipped below that 180 level but unconvincingly. It closed inside the up trending channel although it did break below the lower trend line earlier in the morning. Tomorrow may be interesting as it may solve the question of trend reversal or not. I look forward to an up day but in the mean time must still go with the indicators as they are today.

On the intermediate term nothing has changed from the week-end so the rating remains BULLISH.

On the short term the Index remains above its positive moving average line. However, the momentum has just dropped below its trigger line but remains in the positive zone. The trigger line itself is still in an upward slope. The short term is starting to deteriorate but not yet to the point of changing the rating. That remains BULLISH.

If you look back at the week-end short term Daily Index chart you will see the Stochastic Oscillator with a low point on Sept 15. Well, today the SO has breached that low and is heading lower. This would normally be a bad thing (is is a bad thing by itself) but the intraday Index action might suggest that the immediate trend is now to the up side. With this difference of opinion I will stick with my lateral direction as the direction of least resistance for another day.

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