Cameco Surges 6.35% To New Annual High On Breakout Volume

Cameco (CCJ) closed at $92.15 on October 13, 2025, rising 6.35% with strong volume of 6.8 million shares, decisively breaching the psychological $90 resistance level. This surge establishes a new annual high at $94.36, reflecting renewed bullish conviction. The following technical analysis synthesizes key indicators across multiple frameworks.
Candlestick Theory
Recent sessions reveal a bullish reversal pattern: the October 13th white candle (open: $89.73, close: $92.15) fully engulfed the prior three sessions’ range, indicating strong buying pressure. Key resistance is now established at $94.36 (today’s high), while support resides at $86.35 (October 10th low), coinciding with the 50-day moving average. The breakout above the consolidation range ($86–$89) confirms bullish continuation potential.
Moving Average Theory
The 50-day MA ($86.20) crossed above the 100-day MA ($80.15) in late September, generating a bullish Golden Cross. With the 200-day MA ($68.90) sloping upward and all three MAs aligned, the long-term uptrend remains intact. The current price holding 6.9% above the 50-day MA suggests robust short-term momentum. Confluence exists near $86.50 where the 50-day MA and recent swing low align.
MACD & KDJ Indicators
The MACD histogram shows accelerating bullish momentum (12/26 EMAs diverging positively above the signal line). KDJ readings (K: 85, D: 79, J: 97) enter overbought territory, implying near-term consolidation risk. However, the MACD’s continued ascent may override temporary overbought conditions, supporting trend persistence. Divergence appears absent, with both oscillators confirming price strength.
Bollinger Bands
Bollinger Bandwidth contracted to a 4-month low in early October, preceding the current volatility expansion. Price now hugs the upper band ($93.20), signaling strong upside momentum. The breakout from the squeeze typically indicates sustained directional movement. Upper band breach sustainability is supported by high volume, reducing immediate mean-reversion probability.
Volume-Price Relationship
Volume surged 19% above the 20-day average during the October 13th breakout, validating buyer conviction. The volume-weighted average price (VWAP) since September at $85.30 reinforces the support zone. Notably, accumulation patterns appeared during the September consolidation, as volume increased on up days ($82–$86 range). This volume profile underscores institutional participation in the uptrend.
Relative Strength Index (RSI)
The 14-day RSI (74.5) approaches overbought territory (>70) but remains below extremes seen during prior peaks. While caution is warranted, RSI divergences preceded previous corrections; no such divergence currently exists. Energy sector strength and macroeconomic tailwinds may sustain higher RSI levels than historically typical before reversal signals.
Fibonacci Retracement
Using the swing low of $50.88 (April 2025) and the new high of $94.36, key Fibonacci levels emerge: 61.8% ($78.20), 50% ($72.62), and 38.2% ($67.04). Recent consolidation respected the 61.8% retracement level ($78.20) as support during September’s pullback—a classic bull market retracement depth. Projected extension targets include $103.00 (127.2%) and $111.50 (161.8%).
Confluence and Probabilistic Outlook
Strong confluence appears near $86–$87, combining the 50-day MA, VWAP support, and prior consolidation resistance-turned-support. The simultaneous MACD acceleration, volume-backed breakout, and Bollinger Band expansion suggest 65–70% probability of further upside toward $100. Primary risk stems from KDJ’s overbought signal and RSI proximity to 75, indicating potential consolidation near $94 before continuation. Absent bearish divergences or volume degradation, corrections toward $87 would likely present buying opportunities within the established uptrend.