Uranium may be poised for a major price move, similar to late 2020, as Bollinger Bands suggest an upwards breakout. This aligns with the previous Global X Uranium ETF (URA) surge from $14 to nearly $27.

Fundamentals supporting this include ambitious global nuclear power targets, constrained supply, and regulatory easing for reactors. These factors create a favourable market environment for uranium compared to 2020.

International equities are starting to take a leadership role over U.S. stocks, showing an inflection point after a decade of U.S. dominance. High U.S. market valuations and a potential dollar peak are turning prior advantages into challenges for U.S. equities.

A shift from mega-cap tech stocks toward broader sector leadership appears underway, as shown by Relative Rotation Graphs. Momentum is building in sectors like Industrials, Utilities, and Consumer Staples, indicating diversification away from tech-driven rallies.

Deregulation, particularly in Financials, Energy, and Industrials, could drive this structural market shift by benefiting from reductions in regulatory constraints. This may lead to a reallocation of market capital, defining the long-term leadership of the next market cycle.

Given the technical setup in uranium, particularly the squeeze in Bollinger Bands, a volatility expansion appears likely — and with that, potentially higher prices. We’ve seen this type of compression alongside bullish fundamentals before. Back in late 2020, something similar unfolded, with URA nearly doubling in a short period. Price action alone doesn’t confirm a move, but when supported by current supply limitations, increasing nuclear adoption, and a more accommodating policy environment, the probability favours further upside. It’s worth watching how price responds to the upper band breach — if volume confirms, traders may interpret that as validation of strength.

Global investors seem to be gradually reallocating away from the U.S., a process that could accelerate if the dollar fails to push higher. With extended valuations and sentiment nearing stretched levels in major U.S. indices, we might be at a turning point. Valuation differentials between U.S. and international equities have rarely been this wide, especially when forward earnings expectations no longer strongly favour the former. Price trends currently being observed suggest early positioning by institutional capital. That’s something to take note of.

Large-cap tech’s dominance is beginning to wane, not abruptly, but the signs are unmistakable. When looking at Relative Rotation Graphs showing sector rotation, we’re tracking a clear transition towards areas like Industrials and Utilities. It’s not just defensive flows either — underlying earnings resilience and relative price momentum suggest these sectors are gaining investor confidence. Consumer Staples, traditionally a quieter sector, is quietly outperforming on a risk-adjusted basis. All of this suggests that the leadership baton is being passed — and traders may need to adjust exposure accordingly.

Changes in regulation, particularly reduced burdens on the capital-intensive sectors like Financials or Industrials, are acting as catalysts. These shifts are slow and structural but carry wide implications. Capital tends to find environments with better returns and fewer constraints. If deregulatory policies persist, capital may continue rotating into these sectors, setting a base for longer-term outperformance. For those watching the derivative markets, open interest trends and implied volatility term structures in these sectors should be tracked. They often pre-empt underlying equity moves.

We are observing a number of transitions that are no longer just speculative. They’re taking form in risk spreads, ETF flows, and how options are being priced. In this environment, strategies that lean on sector dispersion rather than broad market direction may prove more stable.