Option 1: ABC correction after wave 5
I'm putting out two different counts on NXTTF because I'm new at this and unsure of how to call the full impulse cycle.
The way I see it, the ATH made in late December represents an extended 5th wave which means we are now heading into an ABC correction. In theory, it would be typical for this correction to dip as low as the last wave 4 which is down around $1.00. Also, the MACD is very high (on the daily chart) and a dip to $1-$1.50 would give it some time to come down before the main up trend begins again.
I'd love to hear how others are seeing it. I'm also going to put out an option two because I see this another way also and as of today (Jan 16'18) I think option 2 would be my lead forecast.
For transparency, I am long on Namaste (I buy it on the Canadian Exchange under symbol "N"), however I sold half my position today until I know which type of correction we are in. Long term, I feel very bullish on this company and its stock price. Vs the other cannabais companies out there, this one is unique in that it focuses on becoming the Amazon online store for weed, and it's valuation is at 20% of what the other big Canadian (grower) companies are at.
DISCLAIMER:
This is not investment advice.
This is only for education and entertainment.
Happy trading!
The way I see it, the ATH made in late December represents an extended 5th wave which means we are now heading into an ABC correction. In theory, it would be typical for this correction to dip as low as the last wave 4 which is down around $1.00. Also, the MACD is very high (on the daily chart) and a dip to $1-$1.50 would give it some time to come down before the main up trend begins again.
I'd love to hear how others are seeing it. I'm also going to put out an option two because I see this another way also and as of today (Jan 16'18) I think option 2 would be my lead forecast.
For transparency, I am long on Namaste (I buy it on the Canadian Exchange under symbol "N"), however I sold half my position today until I know which type of correction we are in. Long term, I feel very bullish on this company and its stock price. Vs the other cannabais companies out there, this one is unique in that it focuses on becoming the Amazon online store for weed, and it's valuation is at 20% of what the other big Canadian (grower) companies are at.
DISCLAIMER:
This is not investment advice.
This is only for education and entertainment.
Happy trading!
Disclaimer
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