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 April 2011

Merv's Daily Commentary 06 Apr 2011

After The Close,

06 Apr 2011

Merv’s Daily Uranium Index

Market Data

Open: 204.08

High: 205.96

Low: 200.15

Close: 202.37

Volume: 5349

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

Well, it seems that the panic plunge may be over but the recovery is going to take some time. The past few days has seen the Daily Index climbing but only oh so slowly. Much more work is required before speculators get their bearings and decide that uranium is not going to go away and will still be needed for a long time to come.

The Merv’s Daily Uranium Index closed the day on the down side by 0.19 points or 0.09%, almost nothing. There were 18 winners, 26 losers and 6 stocks still in shock. The best daily winner was Crosshair with a gain of 12.9% and the worst daily loser was Rockgate which just squeaked into the worst spot with a loss of 5.1%. Market Vectors Uranium + Nuclear Energy ETF lost 0.6% while Global X Uranium ETF gained 0.4%.

Intermediate term wise nothing much has changed. The Index is still quite some distance below its negative moving average line and the momentum indicator is still well inside its negative zone. The momentum is climbing very slowly and is above its positive trigger but with everything else still negative this has no effect on the rating. The intermediate term rating is still BEARISH.

As for the short term, things are a little more confused here. The Daily Index is just a hair above its very slightly positive moving average line but the Index seems to be now heading downwards so another day of even a minor decline would see the Index below the line. The Momentum indicator remains in its negative zone but moving slightly upwards and is very slightly above its positive trigger line. The short term rating may be considered as BULLISH based upon the indicators, however, everything is very fluid and ratings here could change on a day to day notice.

With the weak action of the past few days it’s almost impossible to guess which way for the immediate direction so I’ll just hold off until the technicals get better.


Anonymous said...

Merv, would you consider this present position a builder of a second leg up on a long term position?

I note that we have declined approxiately two thirds over the year and the trend seems positive for a reversal.

Do you think the volume is intact for such a thought at this stage?

morty said...

Beware if the USD has a rebound as some have predicted in may june...wait till thats over i'd say...