Camecofrom ChartWorks:: published by Institutional Advisors
December 15, 2007
Technical observations of RossClark@shaw.ca
Cameco Uranium’s outpaced the oils on the upside from mid August through the end of October. During the next four weeks both markets gave up ground, with the uranium’s underperforming. The ratio of Cameco vs the oil stock index (XOI) is now at new lows for the year. This is the first time since 1999 that the uranium’s have underperformed in the fourth calendar quarter.
Looking at the years with poor fourth calendars quarters (1991, ‘96, ’97, ’98 & ’99) we find that Cameco has a number of consistent characteristics. Tax selling pressure in the first two weeks of December takes the stock below major support. If it is coupled with an RSI (14) reading below 30 (four of the five examples) a tradable low becomes available. The first day with a higher high following the oversold RSI reading becomes the catalyst for the rally. Risk can then be controlled below the pivot low. Following the reversal a recovery rally of 15% or more, peaking around the 34-day Bollinger Band can be expected over a period of four to six weeks.
December 15, 2007
CHARTWORKS WEBSITE:: www.institutionaladvisors.com
The opinions in this report are solely those of the author. The information herein was obtained from various sources; however we do not guarantee its accuracy or completeness. This research report is prepared for general circulation and is circulated for general information only. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this report. Investors should seek financial advice regarding the appropriateness of investing in any securities or investment strategies discussed or recommended in this report and should understand that statements regarding future prospects may not be realized. Investors should note that income from such securities, if any, may fluctuate and that each security’s price or value may rise or fall. Accordingly, investors may receive back less than originally invested. Past performance is not necessarily a guide to future performance. Neither the information nor any opinion expressed constitutes an offer to buy or sell any securities or options or futures contracts. Foreign currency rates of exchange may adversely affect the value, price or income of any security or related investment mentioned in this report. In addition, investors in securities such as ADRs, whose values are influenced by the currency of the underlying security, effectively assume currency risk.
Moreover, from time to time, members of the Institutional Advisors team may be long or short positions discussed in our publications.
|Home :: Archives :: Contact||
June 28th, 2022
© 2022 321energy.com