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.

13 April 2010

Merv's Daily Commentary 13 Apr 2010

After The Close, 13 Apr 2010

Merv’s Daily Uranium Index
Market Data

Open: 176.97
High: 177.82
Low: 173.38
Close: 175.52
Volume: 3940

Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.

Another down day but today it was primarily due to one or two stocks. Yes, the general uranium list was primarily lower but only in the very low single digits. The Daily Index has now decisively crossed below the support line making it a resistance line once more. Give it a day or two to recover or else the resistance designation will hold. The price of uranium is down another $0.25, a miniscule amount but still on the down side.

The Merv’s Daily Uranium Index closed lower by 2.19 points or 1.23%. There were only 9 winners today, 29 losers and 12 stocks not participating. Cameco lost 0.4%, Extract gained 2.1%, Paladin lost 1.3%, Uranium One lost 1.5% and USEC lost 0.2%. The best winner of the day gained all of 3.7% while the loser of the day was Khan Resources which was whacked with a loss of 36.5%. Market Vectors Nuclear Energy ETF lost 1.2%.

A down day but it still has not affected the intermediate term indicators. The Daily Index remains above its positive moving average line. The momentum indicator is moving lower but remains in its positive zone but below its negative trigger line. The volume indicator has once more dropped below its trigger line although the trigger remains positive. For now the intermediate term rating remains BULLISH.

On the short term things are getting a little more negative. The Index has now closed below its short term moving average line although the line slope remains positive. The momentum indicator continues to move lower but has not yet made it into the negative zone. It is, however, below its negative trigger line. As for the daily volume activity, that remains low but very slightly higher than its average volume over the past 15 days. If the volume continues to increase on down days and does not increase on up days, that’s a message from the speculators that we do not want to see. The short term rating is now – NEUTRAL, one level above a full bear.

As for the immediate direction of least resistance, I will go with the lateral for another day although things are looking more like the down side.

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