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.

06 October 2009

Merv's Daily Commentary 06 Oct 2009

After The Close, 06 Oct 2009

Merv’s Daily Uranium Index
Market Data

Open: 168.46
High: 173.36
Low: 165.10
Close: 169.40
Volume: 7000

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

As much as I would like to get all excited about today’s Daily Index advance, after yesterday’s advance, there just seems to be something that doesn’t feel right. Yes, it was a good day but not all that terrific, at least not when compared to the Dow up 132, TSX up 148, Gold up over $20. I guess it was just the energy sector not doing so well as oil only climbed $0.80, just over 1.0%. The thing that bothers me the most about the final Index close is that the Index basically closed at its daily mid point rather than near its daily high. This does not really show great strength at the close, more like a neutral day. I guess we’ll just have to wait another day to see how things are developing.

The Merv’s Daily Uranium Index closed higher by 2.87 points or 1.72%. There were 25 winners, 18 losers and 7 confused. Cameco gained 1.7%, First Uranium had a good day and gained 15.7%, Paladin lost 1.5%, probably due to Australian currency moves, Uranium One gained 1.1% and Uranium Participation was one of those confused stocks not knowing which way to go. The best daily mover was that 15.7% move by First Uranium while the worst daily mover was Mega Uranium with a loss of 10.0%.

Things are starting to look encouraging on the intermediate term but still needs more upside Index action to change the rating. The Daily Index closed below the moving average line and the line slope remains just slightly negative. The momentum indicator has now moved into its positive zone and above its trigger line but the trigger is still pointing downwards. Although the volume indicator is moving higher it is still below its negative trigger line. Despite the positive momentum the overall indicators are still giving me a BEARISH rating for the intermediate term.

As for the short term, the Index closed just below the moving average line and the line slope remains negative. The momentum indicator is still slightly below its neutral line in the negative zone although it is above its positive sloping trigger line. The daily volume action is starting to perk up but could use a lot more daily upside volume to really become interesting. All in all, the short term rating remains BEARISH. The very short term moving average line has turned upwards but has not yet crossed above the short term line to give us any kind of confirmation of a bullish trend.

As for the immediate direction of least resistance, my guess would be basically a lateral move. The Stochastic Oscillator continues to move higher and has entered its positive zone but that daily action and close just bothers me.


Anonymous said...

Merv thanks for your work. Looks like UUU has a breakout today, I Guess we were right on head and shoulder pattern.Also believe spot price has double bottomed. I think UEX will take off soon. It was added to Uranium index Sept. 20 ,2009. Did you see UUU was upgraded to outperform with a 7.90 price target by CIBC World Markets? Hope the 4th quarter is good for uranium, this is the seasonal time for uranium correct? Take Care!

Anonymous said...

Looks like UEX also had a great day!I guess that I was a right about that , should have bought more.
I hope with the uptick in the spot price the 4th quarter may be a great time to be invested in uranium. Let's hope the seasonality for uranium proves correct.