Uranium has been falling into what's felt like a bottomless pit...

Uranium has been falling into what's felt like a bottomless pit but seems the pit may have just found it's bottom.

On Wednesday night URA had the largest trade in its history hit the tape!
We can never know for sure until after the fact if that trade was short or long positioning, however we can trade on probabilities and probabilities favoured instos buying low (they usually don't short the lows, especially with such size).
As you can see from the chart below they'd rather short the highs...




The trade hit and URA rallied off the back off the back of it to close only a whisker away from the POC from Aug/Sept loading zone before the big run and is now up another 3% as I write this.



And while URA was getting hit hard by iinstos CCJ had already found support from the HVNs built over the past year in low $42's

CCJ Daily


Anyway, that was good enough for me and it just so happened PDN released news and the stock got dumped - I couldn't believe my eyes (well I could but sounds better when I act surprised. lol)

With such heavy short interest was looking for PDN to test recent lows and with a little overshoot, which turned out to be bang on and I got set $6.78.
I had $6.76 marked the chart as the target so this was good enough

To say PDN as been oversold would be understatement, with MFI sitting at 0!!!!
That doesn't happen often so when it does you need to assess if the stock is actually a dog or if it's just been overly abused by shorters - then you need to find an entry if the latter is correct.

PDN Daily


Now I can tell you #1 prints rarely disappoint and the moves off the back of them will be some of the biggest you'll see however it doesn't always happen straight away, so was nice to wake up to see that it had...

Uranium is absolutely flying and you wouldn't believe it but PDN is even up on the overseas exchange!!!



Anyway, there's been a lot of doom and gloom on uranium stocks for a while, perhaps we are seeing the start of one hell of a comeback.

I mentioned $7.62 and $7.72 as important levels, I'd look to them for a ST move and if this move has legs then expect $9's again in the not too distant future.

That's it from me so trade safe and good luck!

DYOR
GLTAH