About six weeks ago I wrote an article about the Global X Uranium ETF (NYSEARCA:URA) in which I indicated that the price of URA would decline due to an oversupply of uranium. Needless to say, the naysayers came out in full force. They had their 15 minutes of fame when the price of URA spiked for a period of time, but it is now down 8% from when my previous article was published.
With the recent retracement to the current price of $15.48, URA is now at a decision point. Either the price bounces off the support level of $15 and heads north, or it breaches the support level and heads south to the second support level at $11.