Uranium: The Next Big Power Play?

In a world increasingly focused on clean energy and geopolitical tension, Uranium stocks are quietly forming what could be the trade of the decade. You may not see them on the front page of your favorite financial outlet just yet, but make no mistake—Uranium is staging a comeback.

Take the Uranium ETF (URA) for instance, which has been carving out a decade-long base. After recently bouncing off its all-time-high anchored VWAP, URA is now battling the $28-33 resistance zone, which has been a cap for over 10 years. If it can finally break above $33, the future looks incredibly promising for Uranium stocks. We could be staring at the dawn of a new bull market in Uranium, fueled by a combination of macro tailwinds, geopolitical energy concerns, and the global shift toward clean, nuclear energy.

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One stock that's been on fire lately is UEC, which Pulse Radar members were signaled on when it was just $5.08. Initially, we were focused on a trend line breakout as the stock approached the double bottom neckline zone around $5.50-5.69. To add fuel to the fire, we pointed out in our September 15th post the unusually large open interest on November and December monthly expiration call options, suggesting someone’s making a bet on UEC’s rise before the end of the year.

Fast forward, and UEC just closed at $6.19, rallying more than 11% yesterday alone. Now that we’ve blown past those levels, as long as UEC holds above the double bottom neckline, we want to be long on this name. Sure, UEC has already rallied, but this could just be the beginning. Where else should we be looking in the Uranium space?

How about Cameco (CCO), the No. 1 holding in URA? This stock made new all-time highs this summer, and we believe it has more room to run. If CCO breaks above $68.34, we want to be long this name, targeting its next Fibonacci level.

What’s interesting about CCO is that it recently gave us yet another example of what we call the Plumber’s Pivot. This occurs when overly aggressive bears think they’ve broken key support—like when CCO dropped below $52—and turn up the heat piling into shorts. But once that level was reclaimed, the bears were squeezed out, forced to cover their shorts as the price regained momentum.

If you haven’t heard of the Plumber’s Pivot, check it out here to understand how this pattern can lead to strong reversals, as we’ve seen with CCO. The next step here is to reclaim the VWAP anchored to the ATH, that is when bulls start to gain control of price after it’s recent dip from the ATH.

What's Next?

Don’t sleep on Uranium stocks. Whether it’s the looming energy crisis, global efforts to go nuclear, or the technical setups forming on long-term charts, there’s plenty of fuel for this fire. Keep these names on your watchlist, and don’t miss the breakout that could send Uranium stocks to new heights.

For now, keep an eye on our trade products like Zone Finder and Pulse Radar for more actionable ideas that can help you stay ahead of the curve. You can get access to them here

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