Merv’s Daily Uranium Index
Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.
And away we go, or almost so. The Daily Index broke above its wedge pattern but we could draw another resistance line that does not quite show a break. I’ll go with the original line. The only thing that is a sore point is the daily volume action. There just is no volume to speak of suggesting the speculators who actually move the stocks (and Index) are still not interested in jumping in. That might just negate a rally. I think both the upside break and lack of volume or interest are true. What this suggests is that there may be some speculators testing the waters to see if there might be a follow through after an upside break. No follow through and therefore these speculators will most likely go back into more hibernation.
The Merv’s Daily Uranium Index closed the day down barely a fraction, at 0.09 points or 0.05%. There were 19 winners, 20 losers and 11 bummers. Cameco lost 0.9%, Denison lost 0.5%, Extract lost 4.8%, Paladin lost 0.3% and Uranium One lost 3.6%. The best daily winner was Bannerman with a gain of 8.6% while the loser of the day was Powertech with a loss of 10.9%. Market vectors Uranium + Nuclear Energy ETF gained 1.0% while Global X Uranium ETF lost 0.6%.
The intermediate term is still the bummers but the short term indicators are starting to change, not fully yet but starting. The Index closed above its short term moving average line but the line slope is still negative. The momentum indicator is starting to move upwards and has moved above its positive trigger line but unfortunately the indicator remains in its negative zone. As mentioned earlier the daily volume action is pathetic and really needs to perk up. Still, with all that, the short term rating has perked up to a + NEUTRAL rating.