$XXII Looking BullishSolid trading over the past few weeks setting us nicely for a leg up... Head and shoulders in place... Big resistance at $2.00... IMO we could move up to the $2.40 level... Some resistance at $2.20...
Weed
ACB (Aurora Cannabis Inc) nearing the end of it's Correction After the pot stuck bubble popped we've been stuck in some long complex correction most likely a WXY. If this counts correct we're nearing the end of this correction. It seems everytime ACB makes a major move it first forms bullish divergence on the 6 hour (2 or 3 touches )
I will be waiting for this divergence to form or if we break outta the downward trend line with volume and close above.
Local Top| ABC Correction? Oversold Bounce?Hello Traders
Today’s chart update will be on WEED – Canopy Growth Corporation – is the local top in and are we in an ABC correction? We are more probable to be in for an oversold bounce due to the over extension of indicators.
Points to consider
- Bear trend established on 240 time frame
- Local resistance at $38 region
- Local support at $25.50 region
- Stochastic in lower region
- RSI oversold
- Volume Declining rapidly
WEED is more probable to be in an AB correction after an impulse wave 5 being completed. The trend is bearish as it has failed to make a higher high, negating to overall market structure. Local resistance at $38.00 was breached and retested before a continuation down further to the now local support. This level needs to hold for a potential oversold bounce to come to fruition.
The Stochastic is in severely low regions, it can stay in this area for an extended period of time until we see a clear projection upwards. The RSI also is in severely low regions, an oversold bounce is more probable if price holds local support.
Volume overall is quite low, we need an impulse of volume to confirm an bounce and or break from current region. The EMA’s is giving price resistance into support; we need to see a bull cross for a confirmation of a bounce…
IMO, WEED is completing its ABC correction, a bounce and or a break from this local support will tell us where it’s more probable to head in the near future…
What are your thoughts in this Pot Stock?
Please leave a like and comment,
And remember,
“The market is a device for transferring money from the impatient to the patient.”- Warren Buffet
$WEED continues its way down beautifullyCanopy Growth Corp tanks beautifully within its recently developed down channel.
Based on this rather arbitrary channel, the short term move might be stopped in the $24-$23 range.
Mid term this whole setup continues to look beautifully bearish.
We again saw lower highs and now for sure lower lows.
Next Midterm-Support could be around $21.
ALEAF converging on a bounce move. Multiple supports have converged on the end of a double falling wedge just as the company says it is about to turn a profit.. but has a potential snafu with one of it's suppliers (Aleafia).
What do you think?
HEXO Potential TurnaroundHEXO may be going through a falling wedge pattern, which has the chance of reversing the trend to an upside. It's reached strong support from its long-term trend, and it looks bullish on the 3-day MACD after crossing back in September. Look for it to breakout above the resistance.
Possible Consolidation/Trend Change On CRONCronos Group had a strong uptrend and maintained it for about a year when there was a lot bullish speculation around cannabis as more states in the U.S. began to legalize the plant for recreational and medical use. There were huge estimations on the total worth of the market, however, an estimation on any market will come with errors, estimations on the size of black markets are even more difficult to estimate as there will be a significant amount of errors due to missing data or due to proxying variables to substitute for the missing variables. In addition, the demand for legal cannabis varies dependent on the cost and quality of black market contraband. Once actual revenue started coming in for these companies and solid data, most investors left the space.
The Fundamentals:
As I am still developing my understanding of the financials of businesses, I still understand the balance sheet at a basic level, and currently, the business is still incurring a loss despite increasing its revenue significantly. At the early stage of businesses its not uncommon for them to take on debt, I am not sure on the exacts of the ratio a company should incur in debt, but this is something I will do more research on.
The Chart:
On the daily, it appears like the current movement is slowing down as the real bodies for these candles are shrinking, the current candle on the daily is a potential 3 candlestick reversal known as a morning star. If it reverses here on the daily, it is likely a reversal candle will be printed on the weekly. Another thing to note is that the price is currently at a level of support.
On the RSI, there is a descending trendline and price action has been accelerating to the downside. It is possible to try a longer term position with the RSI trendline kept in mind as a possible area to take profit and such, but that event would take more time and possibly more downside to occur, once the morning star is confirmed a shorter term long position is possible.
Long Weed As We Will See Unwinds In Popular ShortsGreat setup to go long weed stocks right now. This may seem counterintuitive during what looks to be a coming market selloff and fears over recession, but this is shaping up to look as a great mid-term trade.
Some Quick Thoughts...
From a chart pattern perspective, this chart is almost a perfect "v" type dip, with accelerating selloffs eventually leading to a very large short positioning and sentiment extremely negative.
The selloff has left this extremely oversold on all levels. Even if weed continues to be a shit investment, it will likely see a rebound, which is mostly what we're playing here.
As a popular short, it may outperform during a broad based market selloff. We saw many factor reversals recently, and during 2018, we saw many popular shorts actually rise during the big selloff as Hedge Fund redemptions forced funds to sell their momentum longs, and cover their momentum shorts. TSLA was a great example of this last year.
This has hit Demark 13 exhaustions on both a weekly and daily level.
Today's selloff saw this outperform popular market indexes and end in the green despite the rest of the market being taken to the woodshed. It's a decent indicator that the marginal seller is no longer here.
We are hitting the lower long term trendline in a widening pattern. These are almost always good for a bounce. Set a stop loss if you want some protection here.
Just note this is a trade. Not necessarily a long term thesis on owning weed stocks.
Speculative marijuanna play1: Recent IPO with good volume
2: Most Weed companies are basing in support
3: We have a daily engulfing candle
Taking a long tomorrow
weedweeed & hmmj
not chagin or guessing bottoms...ugly charts at moment..let's be patient for entries Nice gap and continuation would be best play to watch for reversal
CGC and TILRAY MonthlySo guys, two stocks which are connected and both has some kind of inverted hammer adding to this, TULRAY is in a TD 9 buy, could this be a "buy the dip" situation ? Well I'm gonna give a shot, gonna wait monday to see how the weekly close end and evaluate a possible entry with the monthly close.
Canopy Growth Corp (WEED)After losing both 200 and 500 MA (red and orange), this is clearly long-term bearish.
Even though pump continuation is possible, all potential upside is capped, most likely by 50 MA (pink), until formation of long-term structural bottom.
The absolute bottom is indicated.
CGC buying the for LONG (2+ years)Buying at ~ 26.39. Buy under Green line. Sell at red line.
My fair value for this company is $47.02 per share.
APHA buying for the LONG (2+years)Buying at ~6.09. I will take profits if we hit 12.61.
My fair value for this company right now is 10.10 per share.
$CGC equilibrium mode established$CGC Cup and Handle formation complete. Now in equilibrium mode between 28.74 & 27.85, form a higher low / lower high and then run to close the gap at 29.62 then comes 31.97$.
CWEB Trade Set Up! Hello Traders!
Today’s chart will be on CHARLOTTES WEB HOLDINGS, a pot stock to keeps your eyes on!
Points to consider,
- Overall trend bullish
- Price respecting upwards trend line
- Bulls testing major resistance
- RSI respecting downwards trend line
- Stocks showing downwards momentum
- EMA’s providing price support but looks weak
- Very low volume
CWEB chart is very clear at current given time; shows us exactly what key levels to watch for the bulls and bears. The trend has been putting in lower highs over the couple months, with price now testing resistance, gives us a good trading set up!
The RSI is respecting the downwards trend line as the stochs continue to show downwards momentum. It’s important to consider that the volume is very low at given time, as when we see a breakout, it is expected that volume will increase drastically.
If bulls are capable of breaking local resistance, we can witness gains of up to 20% and vice versa if bears are able to break upwards trend line…
What are your thoughts on CWEB? Will it break bearish or continue its bullish momentum?
Please leave and like and comment,
And remember,
“You never know what kind of setup market will present to you; your objective should be to find opportunity where risk reward ratio is best.” ― Jaymin Shah
weedmonthly volume profile with vpoc in pink shows how just looking at 30 day volume profile details, it would give good context and bias of price and how it reacts to these volume nodes.
42.72 is price to go over for weed to become a major buy under this price it's weak
