Now that sounds like a blatant downramp..!I agree that a big...

Now that sounds like a blatant downramp..!

I agree that a big buying spike is almost always followed by profit taking, but I wonder what gives you the idea that uranium price will hit new lows?

The DoE's stockpile has been bought in one hit by Traxsys, and the 443 existing nukes around the world are going to be needing fuel. The dip due to negative sentiment is slowly giving way to reality, and I expect uranium prices to find support around $50/lb and then consolidate for a little time before climbing into a sellers' market again.

Of note is that the long term contract price is still around $68/lb - and that is what most of the current producers sell at. The spot price is a very small part of the world uranium market, even though it seems to attract a lot of media (and hedge fund) attention.

If ACB does a big parabolic run up or a big spike, then the smart thing to do for those of us who were on it ahead of the game would be to sell into the spike. Either all, or enough so that what you keep is free-carried. Then buy back when it settles down again.

The chart is showing a definite break of the downtrend - and that's before today's action whatever that may be.