Dig That Uranium

On Thursday, I wrote a blog entry called "Turning Bullish on Uranium Again." Much of that came from notes I had prepared for a teleconference hosted by the website U3O8.biz.

You can listen to the teleconference here: http://www.u3o8.biz/s/Home.asp

Look on the right hand side of the home page and you'll see an embedded sound player with the title "Conference Call U308.biz LISTEN NOW" I had to turn the sound way up on my computer. You may have to do the same.

Anyway, this isn't just shameless blog-flogging. There's a good story in Mineweb today:

Uranium poised for strong rally - RBCCM Royal Bank of Canada Capital Markets is telling clients that "we think the sentiment of the uranium market has changed substantially in a very short period . . . our 2008 market balance estimate has shifted to a deficit (from a balanced market) and we think the spot market is set for a strong rally".

So let's look at a chart ...The Uranium Participation Corp, a fund that holds physical uranium, is breaking out to the upside on a weekly chart. I'd look for it to test overhead resistance at 14.00 sometime this year. If it can get through that, it could easily go to $20 a share.

I may have more on this trend for subscribers of my new service, Red-Hot Commodity ETFs. Stay tuned.

Check out my new gold and energy blog at MoneyAndMarkets.com