for week ending 27 August 2010
Merv’s Daily Uranium Index
Market Data for Friday 27 Aug 2010
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
Note that additional charts of the Daily and Weekly Indices were posted earlier and should be viewed during this commentary.
Another week has gone by and we seem to be heading into another one of those box patterns. Other than that there is nothing interesting and new in the charts.
The Merv’s Daily Uranium Index closed on Friday up 1.55 points or 0.99%. There were 28 winners, 16 losers and 6 just meandering. Cameco gained 1.2%, Extract was a meanderer, Fronteer gained 4.2%, Paladin gained 0.3% and Uranium One gained 0.9%. The best daily winner was JNR Resources with a gain of 8.1% while the loser of the day was Forum Uranium with a loss of 6.3%. Market Vectors Nuclear Energy ETF gained 1.9%.
For the week as a whole the Merv’s Weekly Uranium Index lost 16.90 points or 0.36%. There were 20 weekly winners, 27 losers and 3 meanderers. Cameco lost 2.7% on the week, Extract lost 5.5%, Fronteer gained 9.2%, Paladin lost 2.8% and Uranium One lost 1.7%. The best weekly winner was Quest Rare Metals with a weekly gain of 19.9% while the weekly loser was Energy Fuels with a weekly loss of 13.5%. Market Vectors Nuclear Energy ETF lost 0.3%.
We’re not getting anywhere fast as far as the long term indicators and ratings are concerned. Both the Daily and Weekly Indices are below their negative sloping long term moving average lines. Both of the momentum indicators are in their negative zones. The Daily long term momentum has, however, just crossed above its trigger line but the trigger is still slightly negative. The long term volume indicator continues to move sideways just above its positive trigger line. All in all both Indices are BEARISH as far as the long term position is concerned.
The Daily Index remains above its positive sloping intermediate term moving average line. The momentum indicator has just inched above its neutral line and is in the positive zone. It is above its trigger line and the trigger has just turned to the up side. The volume indicator has once more crossed above its trigger line with the trigger pointing upward. For now the intermediate term rating is BULLISH. The short term moving average line remains above the intermediate term line for confirmation of the bull.
On the short term the Daily Index has just closed above the short term moving average line but the line is still in a slight negative slope. The short term momentum has crossed into its positive zone and is above its trigger line although the trigger remains in a negative slope. The daily volume action continues to be low and not really telling us anything yet. On the short term the rating is + NEUTRAL for now. The very short term moving average line is still slightly below the short term line and need slightly more upside to confirm a bull (which would probably coincide with the short term rating turning bullish).
As for the immediate direction of least resistance, where’s my coin? Ah, there it is, heads, I guess I’ll have to go with the up side based upon a universe worth of intelligence and sophisticated computer programs.