In our previous article from last year, we wrote that NextGen Energy was in the process of correcting rally from 2020 low. The correction looks completed and the stock is now ready for the next leg higher in coming months. NexGen Energy (NXE) is a Canada-based company with a focus on acquisition, exploration, and development of Canadian uranium projects. The company owns a portfolio of prospective uranium exploration assets in Athabasca Basin, which are some of the largest in the world.
NXE weekly chart above shows that the rally to $3.4 on 2.17.2017 ended wave (I). Pullback in wave (II) ended at $0.52 on 3.16.2020 low. Since then, the stock has rallied higher within wave (III). Up from wave (II), wave I ended at $6.50 and wave II corrected cycle from 2020 low and ended at $3.39. The stock has turned higher again in wave III of (III).
Daily Elliott Wave Chart of NextGen Energy (NXE) above shows that wave II pullback ended at $3.39. Up from here, the rally looks to be in 5 waves diagonal ended wave (1) at $4.85. Wave (2) is in progress to correct cycle from 7.14.2022 low and as far as dips stay above $3.39, expect pullback to find support in 3, 7, or 11 swing for further upside.