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.

22 July 2010

Merv's Daily Commentary 22 July 2010

After The Close, 22 Jul 2010

Merv’s Daily Uranium Index
Market Data

Open: 147.63
High: 150.93
Low: 146.62
Close: 149.73
Volume: 2560

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

Little by little we are getting closer and closer to a break-out through the down trend line and intermediate term moving average line, BUT NOT YET. Well, we have closed above the moving average line but the most important feature, the turning upward of the line, has not yet occurred.

The Merv’s Daily Uranium Index closed higher by 2.83 points or 1.92%. There were 26 winners, 15 losers and 9 sleepers. Cameco gained 2.2%, Extract lost 0.8%, Fronteer gained 0.5%, Paladin gained 5.3% and Uranium One lost 0.4%. The best gainer of the day was Tournigan with a gain of 21.7% while the loser of the day was RPT Resources with a loss of 7.7%. Market Vectors Nuclear Energy ETF gained 2.2%.

Very quickly the rating is changing on the intermediate term. The Daily Index closed above the intermediate term moving average line but the line slope is still to the down side. The momentum indicator is moving nicely higher but remains in its negative zone. It is above its positive trigger line and above its value for the past few months. The volume indicator has been playing games with its trigger line lately and today it is once more above the trigger. However, the trigger line is still pointing slightly downward. The intermediate term rating has now improved all the way to a + NEUTRAL rating, one level below a full bull. The short term moving average line is still below the intermediate term line so no indication of a bull yet.

The short term is in good shape. The daily Index closed above a positive moving average line. The momentum indicator has moved strongly into its positive zone above its positive trigger line. Only the daily volume activity is low and needs to improve. However, the rating for the short term remains BULLISH. The very short term moving average line remains above the short term line for confirmation of the bull.

As for the immediate direction of least resistance, I’m going with the up side for another day.

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