Huge upside after correction ahead Based on my Elliott wave analysis, we should see a correction to around $23 per share.
On the flip side, I could also imagine the correction being very shallow and possibly already over, though this is not my preferred scenario.
Comparing the Cameco wave count with the one of the Uranium-ETF, it becomes apparent that there is a clear divergence between the two. While the ETF has bin consolidating for a while now, Cameco has performed very well.
For that reason I would wait until a clear correction has occured and possibly already enter after the (A) has finished, in case the correction is already over at that point, closing the position again once the horizon clears up to show that the correction is actually a lot deeper.
All in all, a very interesting case, both technical and fundamental. China and India are both building whole cities worth of nuclear reactors, while production is barely picking up and takes years to expand due to regulation and geographic cost distribution.
Long-term price aim should be around $175 give or take.
Updates will follow
