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.

28 April 2010

Merv's Daily Commentary 28 Apr 2010

After The Close, 28 Apr 2010

Merv’s Daily Uranium Index
Market Data

Open: 168.56
High: 170.42
Low: 166.04
Close: 168.29
Volume: 1931

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

Another miniscule decline signifying nothing. The only problem, after a while these miniscule declines start to add up. You can tell that this week’s $0.25 improvement in the price of uranium is doing nothing for the market. We’re continuing in a defined down trend within a channel that has plenty of room on the down side. With the slope of the down trend channel we could be at the previous low area next week. That would still leave us plenty of space to get to our year long support at around the 153 level (shown on week-end charts).

The Merv’s Daily Uranium Index closed lower by 0.39 points or 0.23%. There were 23 winners, 21 losers and 6 fast asleep. Cameco lost 2.3%, Extract lost 1.6%, Paladin lost 1.7%, Uranium One lost 0.4% and USEC gained 1.6%. The best performer was Tournigan Energy with a gain of 6.8% while the worst performer was Quest Uranium with a loss of 4.8%. Market Vectors Nuclear Energy ETF gained 0.1%.

The intermediate term indicators continue to be all in the negative territory. The Daily Index remains below its negative sloping moving average line while the momentum indicator remains in its negative zone below its negative trigger line. The volume indicator continues in a basic lateral drift but is below its negative trigger line. All this combines to give us a BEARISH intermediate term rating. The short term moving average line confirms the rating by being below the intermediate term average.

The short term is no better than the intermediate term. The Daily Index remains below the short term moving average line and the momentum indicator remains in its negative zone below its negative trigger line. The daily volume action keeps bouncing up and down with no discernable message at this time. On the short term I must remain BEARISH in the rating. The very short term moving average line is confirming this rating being below its short term average.

As for the immediate direction of least resistance, well I think the lateral direction continues to be the most likely direction. Of course that does not mean absolutely lateral. It could be + or – a % or two.

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