The post-legalization sell-off may or may not be over, and I'm watching CGC 4 hour chart for clues. We're in a 4hr equilibrium and the support to hold is 37.32 and resistance is 41.06.
A break of 37.32 and we're looking down towards 36.62 low of the dump and then 30.20.
A break of 41.06 resistance and we're looking to set a daily lower high, compared to the all time high. First resistance is 42.43 and then a lack of resistance because of the aggression of the dump. I would have a target in the area of the daily Middle Bollinger Band, currently at 47.42. Update that level each day.
The MACD is currently curling upward, if we break bullish out of this range I will need to see a more convincing MACD cross to feel confident.
The direction CGC breaks will likely dictate how the rest of the sector breaks.
The daily setup here is a bear flag, and being mindful of this I will only attempt to bottomfish very close to the low of this equilibrium, otherwise I'll wait for the break to negate the bear flag.
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For anybody looking at any individual stock it is imperative to keep an eye on the overall market. The correlation of every individual name and sector to SPY 1.79% market is very real and the market is showing significant weakness over the past three weeks with warning signs of further potential weakness potential into next week.
By the way, I do analysis on the entire sector across all the mj charts I publish. If you're not looking at all the names I talk about, you're not getting the full sector-wide analysis. Follow me to get updates when I publish ideas and pay attention to the mj names you typically don't look at too, so you can stay in the know and get the full picture.
A break of 37.32 and we're looking down towards 36.62 low of the dump and then 30.20.
A break of 41.06 resistance and we're looking to set a daily lower high, compared to the all time high. First resistance is 42.43 and then a lack of resistance because of the aggression of the dump. I would have a target in the area of the daily Middle Bollinger Band, currently at 47.42. Update that level each day.
The MACD is currently curling upward, if we break bullish out of this range I will need to see a more convincing MACD cross to feel confident.
The direction CGC breaks will likely dictate how the rest of the sector breaks.
The daily setup here is a bear flag, and being mindful of this I will only attempt to bottomfish very close to the low of this equilibrium, otherwise I'll wait for the break to negate the bear flag.
_____
For anybody looking at any individual stock it is imperative to keep an eye on the overall market. The correlation of every individual name and sector to SPY 1.79% market is very real and the market is showing significant weakness over the past three weeks with warning signs of further potential weakness potential into next week.
By the way, I do analysis on the entire sector across all the mj charts I publish. If you're not looking at all the names I talk about, you're not getting the full sector-wide analysis. Follow me to get updates when I publish ideas and pay attention to the mj names you typically don't look at too, so you can stay in the know and get the full picture.