Fission Uranium, one of the doggiest of dogs, has been reduced to a whimper, rounding out the year in spectacularly bad technical shape. Two major levels of support have been violated, and a third may yet be tested.
Fission will likely open 2020 with the bearish bias that marked its 2019 performance. We think a handful of gritty buyers are prepared to step in at 0.12, but sellers will fight back at 0.25. If the sellers prove weak, and if short-sellers do a bit of covering, price could rise to 0.32, a level at which larger buyers lay in wait. Aided by additional short-covering, price could quickly rise as high as 0.44, at which point, all bets are off.
That being said, things have the capacity to turn much uglier for Fission… If buyers don’t turn out at 0.12, the door to 0.05 is opened, and then someone might as well walk up and put a merciful bullet in the stock’s head.
On a brighter note, we are beginning to see pivot compression and cycle truncation, both indicators that signal an approaching bottom.