Jeb Handwerger: Fundamentals and Technicals Are Best For Uranium in 20 Years – 3/5/14
We last spoke with Jeb Handwerger, publisher of Goldstocktrades.com, in November of last year. At that time, Jeb called for a major rally coming in uranium stocks. Since then, many uranium juniors are up 100%, so what does Jeb see moving forward?
Jeb is seeing some of the best technical charts he has seen in 20 years. There are significant breakouts occurring on higher volumes, which according to Jeb, signals funds moving into the space.
Jeb believes that this is an excellent time for investors to see that there is a turn coming and get positioned. Even though the spot price of uranium has just broken out into new two year highs and is only up 5% this year, Jeb points to some stocks that are up 100% this year and that is the leverage you get in the junior sector – especially in the uranium sector which was beaten down for so long.
Jeb sees the fundamentals getting stronger, with Japan turning back on the reactors, the Russian HEU agreement expiring, unrest occurring in Ukraine and possibly in Kazakhstan (a major producer of uranium) — there is truly a potential here for a major uranium price rally.
The uranium space has generally always been small Jeb points out, but now it is even smaller. Right now there are very few high quality assets that investors can expose themselves to this sector. Jeb sees all this cash on the sidelines is coming back in to an extremely depressed sector with very few capabilities for funds to get in, and that is when you get these explosive moves. And on top of that, you have a large short position on some of these junior uranium miners.
In the interview, we ask Jeb for an update on Lakeland Resources, a pure play uranium exploration company focused in the Northern Athabasca Basin. Jeb says that Lakeland has the management team that can make it happen and a JV partner committed to exploration in an area of the Basin that is under-explored.
Jeb also discusses U308 Corp, a company with a large resource base in South America, with near term production in Argentina. The company already has an agreement in place and the company is extremely undervalued at three year lows, and the stock is making a golden crossover with major volume come in.
Jeb is also following the near term producers in the US — particularly Uranerz Energy, which he has been discussing for years. The company is coming into production and has off-take with some of the largest utilities. A couple of other companies with large deposits are Laramide Resources, with 50 million pounds of uranium, and in Canada Jeb likes the Elliot Lake Region, with a company called Pele Mountain Resources.
Finally, Jeb touches on Ucore Rare Metals, the highest grade heavy rare earth asset in the US. The Alaska state government has just announced to help finance the project, which should show investors a huge vote of confidence.
Jeb concludes – I am so excited for 2014!
Gold Stock Trades Editor Jeb Handwerger is a highly sought-after stock analyst syndicated internationally and known throughout the financial industry for his accurate and timely analysis of the equities markets, particularly the precious metals sector. Subscribe to his FREE Newsletter right now at: http://goldstocktrades.com.