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Cameco Corp. May Be Under Accumulation

|Includes: Cameco Corporation (CCJ)

Cameco Corp (NYSE:CCJ) has reached a point that on a technical basis, the current down-draft may have run its course.

CCJ has been congesting around the 17 - 24 area for years.

From a Wyckoff analysis standpoint, this is what is called "building a cause".

The congestion tends to exhaust participants that want a quick move and at the same time, allows the big players to establish large positions.

CCJ WeeklyChart by TeleChart

If CCJ is under accumulation, then price action may begin to rise as all available stock at the current level has been acquired.

Special note: The stop is going to be tight on CCJ. That stop will be provided by the end of the session.

Disclosure: The author is long CCJ.