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.

26 June 2011

Merv's Weekly Uranium Commentary 26 June 2011

Merv’s Weekly Uranium Review
for week ending 24 June 2011

Merv’s Daily Uranium Index
Market Data for Friday 24 Jun 2011

Open: 167.54
High: 169.78
Low: 163.99
Close: 165.72
Volume: 9574

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.

It’s been a rotten week so this is going to be short. To finish off the week, as I was in the middle of my Gold service commentary (they are paying clients so get first crack at my time) we had a power failure. I had lived in California (throughout the 1960’s and early 1970’s, a great time to be living in California) for some 13 years and never experienced a power outage. On moving to Quebec in 1973 the first thing I experienced was a power outage. I have since found out that power outages in this Province (I don’t know about the rest of Canada) is not an unusual event. Over the years I have experienced more than one outage that lasted for many, many days, including our famous “Ice Storm Outage”. Frustration does not improve with age.

The commentary is short for that reason but hope to be back with my normal next week (where have I heard that before?).

It looked for a while that a rally was starting but that seemed to stall out on Thursday and Friday. It still looks like the Daily Index wants to move higher but there is no real strength behind the move so any rally from here should be suspect until some better strength comes into the picture.

From the standpoint of ratings, there is no real change in the long term or intermediate term. Both are still BEARISH so I’ll leave it there for this week.

On the short term that’s where things are getting interesting. We have sort of a mixed bag in the indicators. The Daily Index closed the week very slightly above its short term moving average line but the line itself is still in a downward slope. The momentum indicator remains in its negative zone but is above its positive sloping moving average line. The daily volume action remains very low but seemed to perk up on Friday. However, this was due to the actions of one stock and not the actions of the component stocks in general so I would not place any emphasis on this perk-up. Putting all that together, and going to my magic formula for determining the rating, I get a short term rating of + NEUTRAL, one level below a full bullish rating. Although the very short term moving average line seems to be moving in an upward direction real fast it is just a hair below the short term average and therefore basically confirming that we are not quite at the bullish level.

As for the immediate direction of least resistance, the Stochastic Oscillator has been ahead of the game for several days but seems to have given up on Friday. I’m therefore going with the lateral direction for a day or so to see what happens next.

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