Uranium bull market
This is the URA ETF containing a basket of uranium stocks, so I like to use this to analyze the uranium sector. Some may be disappointed that they have missed the bottom, but I think there is much room to grow based on the historically low price levels.
As for URA we can see that it has broken an inverse head and shoulders making very important pivot point on the graph as a first higher low as well as surpassed previous lower highs, making the start of an uptrend a very high possibility at this point.
Looking at URA/XAUUSD we can also see that more money is flowing into uranium compared to gold making this a likely lucrative investment in the long term. We can see a similar story ,where an ihns has matured and previous lower highs are being surpassed making it very likely for an uptrend to form on this graph to form, meaning more money may flow into uranium in the long term.
I believe there are many fundamentals at play as we are trying to lead to a more green future, companies are more incentivized to to be net carbon zero or less, especially s the government introduces carbon taxes. This is great for the renewable sector, but I feel that uranium is a much better value play at this point.
Here I am comparing URA with BEP.UN, one of the strongest and best performing renewable tickers out there and we can see that it is at the cusp of a breakout as indicated by the increasing volume and being right at the downtrend resistance. We can see bullish divergence on the RSI , MACD and increasing bull volume.
My argument is that, when it comes down to it, as population increase, energy demand will increase. Moreover, the world is getting richer, so as the GDP across the world increase,, those same working people will want a taste of our life style, leading to even more energy demand. As of now, the renewable energy we have today is not likely to sustain the worlds energy demand, and so in order to meet with the worlds energy demands while trying to maintain a lower carbon emission I believe uranium is our only option as its the most practical and energy efficient solution. We are moving towards an EV future and so even while EV is "green", it is only as green as it's power source. I don't have numbers with me, but I'd imagine when EV cars are the norm, we'd need a significant amount of energy for the charging stations required to charge EV's, and I don't think solar, hydro or wind will be sufficient.
We can also compare uranium to the price of oil using this URA/HOC chart. and we can see that it has broken out of this channel for a retest forming a higher low.
It is a little unclear compared to natural gas, but the good news is that the downtrend has stopped.
But in short, I think uranium is a great buy and hold for the long term. Tickers I own are CCO, EFR, and FCU, there are many other great tickers, but to my knowledge, CCO is the safest one of the bunch. I have read that in the previous bull market the worst performing ticker at the end of the bull market had 22x upside, so with inflation , the falling dollar, and money flowing into uranium compared to gold and other energy commodities uranium has a bright future ahead.
As for URA we can see that it has broken an inverse head and shoulders making very important pivot point on the graph as a first higher low as well as surpassed previous lower highs, making the start of an uptrend a very high possibility at this point.
Looking at URA/XAUUSD we can also see that more money is flowing into uranium compared to gold making this a likely lucrative investment in the long term. We can see a similar story ,where an ihns has matured and previous lower highs are being surpassed making it very likely for an uptrend to form on this graph to form, meaning more money may flow into uranium in the long term.
I believe there are many fundamentals at play as we are trying to lead to a more green future, companies are more incentivized to to be net carbon zero or less, especially s the government introduces carbon taxes. This is great for the renewable sector, but I feel that uranium is a much better value play at this point.
Here I am comparing URA with BEP.UN, one of the strongest and best performing renewable tickers out there and we can see that it is at the cusp of a breakout as indicated by the increasing volume and being right at the downtrend resistance. We can see bullish divergence on the RSI , MACD and increasing bull volume.
My argument is that, when it comes down to it, as population increase, energy demand will increase. Moreover, the world is getting richer, so as the GDP across the world increase,, those same working people will want a taste of our life style, leading to even more energy demand. As of now, the renewable energy we have today is not likely to sustain the worlds energy demand, and so in order to meet with the worlds energy demands while trying to maintain a lower carbon emission I believe uranium is our only option as its the most practical and energy efficient solution. We are moving towards an EV future and so even while EV is "green", it is only as green as it's power source. I don't have numbers with me, but I'd imagine when EV cars are the norm, we'd need a significant amount of energy for the charging stations required to charge EV's, and I don't think solar, hydro or wind will be sufficient.
We can also compare uranium to the price of oil using this URA/HOC chart. and we can see that it has broken out of this channel for a retest forming a higher low.
It is a little unclear compared to natural gas, but the good news is that the downtrend has stopped.
But in short, I think uranium is a great buy and hold for the long term. Tickers I own are CCO, EFR, and FCU, there are many other great tickers, but to my knowledge, CCO is the safest one of the bunch. I have read that in the previous bull market the worst performing ticker at the end of the bull market had 22x upside, so with inflation , the falling dollar, and money flowing into uranium compared to gold and other energy commodities uranium has a bright future ahead.
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