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.

03 April 2011

Merv's Weekly Commentary 03 Apr 2011

Merv’s Weekly Uranium Review

for week ending 01 April 2011

Merv’s Daily Uranium Index

Market Data for Friday 01 Apr 2011

Open: 198.49

High: 203.07

Low: 196.37

Close: 200.55

Volume: 6599

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 Indices were posted earlier and should be viewed during this commentary.

A bad day on Monday followed by 4 days of monotony. It will still take a while for uranium and uranium stocks to get back into gear. In the mean time monotony may be the order of the day. Better than the other option, plunging stocks.

The Merv’s Daily Uranium Index closed on Friday higher by 3.15 points or 1.59%. There were 35 daily winners, 9 losers and 6 stocks nervous. Cameco gained 1.0%, Denison gained 4.3%, Extract gained 1.3%, Paladin gained 0.8% and Uranium One gained 2.9%. The best daily winner was Strateco with a gain of 13.2% while the daily loser was JNR Resources with a loss of 4.8%. Market Vectors Uranium + Nuclear Energy ETF gained 0.7% while Global X Uranium ETF gained 1.3%.

For the week as a whole the Merv’s Weekly Uranium Index closed lower by 465.27 points or 6.04% (the Daily lost 8.18% on the week). There were 6 weekly winners, 44 losers and no nervous stocks. Cameco lost 3.7%, Denison lost 9.7%, Extract lost 11.5%, Paladin lost 3.4% and Uranium One lost 10.1%. The best weekly winner was Benton with a gain of 14.9% while the loser of the week was Rockgate Capital with a loss of 19.0%. Market Vectors Uranium + Nuclear Energy ETF lost 1.7% while Global X Uranium ETF lost 4.1%.

There is nothing positive in this market for the long or intermediate term. Everything is still negative and the ratings are BEARISH.

On the short term things are also still negative but at least here we can come up with some bright spots. The Daily Index is sitting just underneath its short term moving average line ready to cross above it. The momentum indicator continues to improve and is above its positive sloping trigger line although the indicator is still in its negative zone. The daily volume action remains low and needs to once more start improving if we want to see a rally anytime soon. For now the short term rating is still BEARISH but improving. The very short term moving average confirms the bull but even here it is only very slightly below the short term moving average line ready to cross above.

As for the immediate direction of least resistance, with this market it’s anybodies guess. I’ll go with the up side as the Stochastic Oscillator is improving giving us hope for a rally.

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