Futures prices for this commodity hit $17.75 on the last day of November… and $26.15 yesterday, a new high for this year.

That’s a 47% move – in a little more than two months.

Even better, nobody is talking about it…

[ad#Google Adsense 336×280-IA]Nobody, that is, except me.

This commodity was the cover story in my True Wealth newsletter last month.

It peaked near $140 in 2007.

And today, it’s around $26.

So even after a 47% gain in just over two months, it’s nowhere near its former glory.

There’s still plenty of upside…

So what commodity is this? It’s uranium…

I wrote about uranium in DailyWealth back in October.

In that essay, called “Exactly What I Want to See in A Trade, Part II,” I quoted legendary commodities investor (and my good friend) Rick Rule on what’s wrong with uranium – and what’s right with it.

What’s wrong is that it’s an unprofitable business right now… There is too much supply and too little demand. As Rick said at our Stansberry Conference in Las Vegas last year:

You make the stuff at $65 a pound, and you sell it for $25 a pound. That means you lose $40 a pound, and you do that 190 million times a year.

As you dig into the fundamentals, it’s hard to find cause for optimism. Some “lifelines” are out there, but they are long shots.

However, at the conference, Rick also made the long-term case for uranium succinctly to the crowd:

How many people here believe we’re going to have electricity in six or seven years? [Most hands go up.] That means you believe that the price of uranium – the stuff you make electricity out of – goes up. No second choice.

In October, I wrote that uranium had what I wanted to see in a trade – but I was not a buyer yet…

Uranium is incredibly cheap and incredibly hated. There’s a great long-term case for it, as Rick Rule explained. But in the short run, things can get worse before they get better.

In the meantime, I will watch for the uptrend – the price action – to confirm this idea before any data in the market will confirm it.

My friends, we have that uptrend now… in spades. Uranium is up 47% since bottoming in November.

Besides that, it’s cheap – relative to its highs from 10 years ago around $140.

And finally, it’s hated… After 10 years of terrible performance, absolutely nobody is talking about uranium today.

Nobody is interested in uranium except me… and my subscribers.

Uranium finally has exactly what I want to see in a trade. It’s cheap, hated, and in an uptrend.

You haven’t missed it yet… Get on board, now…

Good investing,

Steve

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Source: Daily Wealth