As shown on the chart since erly October,ACB has been traded below the green trend line on the daily. It finally broke above it this week,but follow through is yet tobe confirmed.
On the macd side, divergence has been building up since early October too as shown by the green trend line. It is important to note that since the middle of May 2019, MACD has always been below the zero line and the upcoming blowout earnings could be the perfect spark to push it upwards finally after a whole year.
RSI has also been moderately trending upwards too. Although it broke the upwards trendline for a couple of days during early March, it still has potential to be a viable signal to the upside. Also just like the MACD, since the middle of May 2019, RSI has been traded below the 50th mark except for a few head fakes.
All in all I believe the longs will finally be rewarded and if Aurora comes clutch with a equity based partnership deal we will definetely be seeing a 10-15bil market within this year.
@theonetheonly310, haha this is an old idea and technicals trump fundamentals loser
micahjmiller
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These weed stocks are so beaten down. I think ACB could easily run for 100-500% over the next 3 months or so. Scale down to the 15 minute chart... Looks awfully familiar...
Barkworth
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I like your thesis, and I have always liked ACB. I really want to invest in them again, but I'm currently out of reasons to do so. Later this year we may see a recovery, as you say. For the time being, I think we'll see it lingering at the current levels. That means there is lots of time to evaluate, and decide to in at a later date.
My main concerns are
1) cash will run low at some point, and they may be forced to raise more, diluting the share count at the current levels. That would mean +300M shares or worse.
2) an equity based partnership was what most of us anticipated when Nelson Peltz came on board, but realistically, ACB's footprint in the USA is zero, and I wonder if that would be a limitation.
3) if indeed an strategic partner is secured, how would that affect the share price? XLY made a deal with UK based Imperial Brands, receiving 200M, and they remained a penny stock. Of course, XLY is very much under the radar still. But I really do think that results will drive the price from here.
4) my biggest concern, they may fail. They wouldn't be the first. The original strategy didn't work out, and they are now changing their business model. That is a really big deal, and for investors, a really big gamble.
Even if everything works out, the first target would be $1.47. At the moment, I think ACB is suited for swing trading only.
@fernandochristopher, lol. I bought the sell off at $5.72. Laughed straight to the bank and currently on the sidelines. Thanks for a very intelligent response. Made my day.
@fernandochristopher, don’t go long, mate. It hit my targets, all of them. Divide the current price by 12 and tell me how wrong I was.
Barkworth
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I’ll do the math for you. Friday’s after hour price is the pre-reverse split equivalent of $1.32. Why are you so mad, bro? I’ve been spot on, all the way.
"ACB initiated a 12-for-1 reverse stock split last week after facing a delisting warning from the New York Stock Exchange, due to their share price being below $1 per share. "
stocknews.com/news/acb-why-shares-of-aurora-cannabis-continue-to-see-such-extreme/