“Uranium has been the worst performing commodity for well-known reasons. However, both URAX and URA seems to be consolidating. Would very much appreciate your technical view on both.”

Eoin Treacy's view While the nuclear sector was hit hard by the Fukushima accident and the subsequent political response to it, natural gas poses an equally significant risk to the sector. Uranium is in need of a catalyst such as the widespread adoption of Generation IV generating capacity and a commitment to retire old, outdated reactors. At present this is an unlikely prospect.

Here are log scale charts of Global X Uranium ETF (URA) and the World Uranium Total Return Index (URAX) which clearly depict the continuation of lower rally highs consistent with supply dominance. Breaks in these sequences will be required to confirm a change in the status quo,