HMMJ, Cannabis resurrection
HMMJ, The cannabis sector is going through what is now a 6 month long downtrend, and we might be near the end.
Setting us up for a Bull run through october and into the Earnings season, where hopefully we will see companies as Aphria, VFF, WMD etc. continuing there recent performance and build on and hopefully a resurrection of c CGC and TLRY to lead HMMJ to new hights.
On the Chart we can see the 6 month parallel downtrend, now we are touching the lower trendline and also around a potential support level, where we can see a bounce back up to the upper trendline, which is also a former support line.
I have outlined the 4 potential support zones, if this doesn't hold we could go lower and see 12 before the rise.
The volume has increased the last days and is at the highest level since the start of the downtrend, could indicate we have reached the bottom, as support steps in and weak hand sells out. A bullish divergence has also formed on the RSI.
Happy trading
Setting us up for a Bull run through october and into the Earnings season, where hopefully we will see companies as Aphria, VFF, WMD etc. continuing there recent performance and build on and hopefully a resurrection of c CGC and TLRY to lead HMMJ to new hights.
On the Chart we can see the 6 month parallel downtrend, now we are touching the lower trendline and also around a potential support level, where we can see a bounce back up to the upper trendline, which is also a former support line.
I have outlined the 4 potential support zones, if this doesn't hold we could go lower and see 12 before the rise.
The volume has increased the last days and is at the highest level since the start of the downtrend, could indicate we have reached the bottom, as support steps in and weak hand sells out. A bullish divergence has also formed on the RSI.
Happy trading