The Market Vectors Nuclear Energy ETF (NLR) offered the first chance to get in on a break of a long downtrend back in the middle of February and again on a break of a longer downtrend in May.  It quickly moved up more than 10% following that breakout and reached oversold levels in the short term.  It needed a breather and got it this month as the market digested gains.  NLR has retreated around 10% and is currently testing a very strong level of support where the upward trend off the March lows and the 50 day moving average converge.  Considering Nuclear will have to be a larger part of our energy strategy, particularly if McCain is elected, NLR could eventually have the kind of run that other commodities have had.

Over the past several weeks we’ve seen a tremendous surge in all commodities - across platinum, gold, oil, aluminum, wheat, coal and on and on…. Is it time for nuclear energy and uranium stocks to shine?  That appears to be the case.  Take a look at the Market Vectors Nuclear Energy ETF (NLR) and you can see that’s it’s busted through a multi month downtrend.  The Market Vectors ETF is a great diversified way to play this industry.  Not only is it diversified across companies but countries as well. 

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According to ETF Connect, the top 10 holdings include:

- Exelon (EXC)
- British Energy (UK)
- Mitsubishi Heavy (Japan)
- Uranium One (Canada)
- Denison Mines (DNN) (Canada)
- Energy Resources (Australia)
- Paladin Resources (Canada)
- Cameco (CCJ)
- Kajima (Japan)
- JGC Corp (Japan)

It’s interesting to note that only one of the top 10 is headquartered in the US.  Exelon (EXC) is the largest US utility company and the top holding of the fund.  Only Cameco (CCJ) joins Exelon as a US based company in the top 10, with representation from Canada, Australia and Japan rounding out the top 10.  Only Excelon (EXC), Cameco (CCJ) [the largest US uranium miner) and Denison Mines (DNN) are traded on US exchanges.