There is a case for the war relief to paint the broad rally as a ‘B’ high, as we’ve been considering. That same case applies to the gold mining ETFs/indexes. It’s a case, not a prediction. The market and the daily noise driving it, will decide soon enough.
Markets and many sectors, including commodity sectors like gold and copper mining, have shot upward and could be vulnerable to a point ‘B’.
Daily Charts
But when I look at uranium charts I see ‘buy opportunity’, in the technicals. One such chart is the ETF, URNM, on which I increased my position. It hit resistance today and recoiled. I bought that recoil. But it does need to clear resistance and the 50 day average, and hold them to clearly project a rally to new highs.
I have held my UEC position, doing nothing with it (not selling because the chart looked like a buy, not a sell) as long as it held the 200 day average. Both of these charts sport pleasant looking RSI and MACD.
I also added uranium/REE guy, UUUU back as it pops back into the Cup’s handle after also holding its major uptrend marker, the SMA 200.
Three pictures that look good to me when tuning out the war noise and simply looking at charts. Uranium often goes its way among commodities and broad markets. The way it has gone lately has been a methodical downtrend absent the volatility of other markets. To me, it seems worth increasing positioning within my diverse and hedged portfolios.
Generally, all three should hold their uptrending 200 day moving averages to keep the picture bullish. The technical implication would be eventual new highs.
NFTRH+ trade setup ideas are presented for consideration and further research only, not as recommendations. I may or may not personally take positions in all or even most NFTRH+ ideas, as it would depend on my portfolio composition at any given time. “Stop loss” and target levels are usually noted and should be respected.
