Cronos has performed great, especially today amid a minor weed stocks sell-off but the chart is showing signs of exhaustion and fundamentally it is over-priced for its sector, despite being one of the few making money.
FA
Horizons cannabis fund $HMMJ and $MJ will begin re-balancing around September. I predict some of CRON will be sold-off to maintain weighting.
Weed stocks are all "over-priced" and the recent cannabis supply agreement in Canada may mean further government supplied products hitting the market.
TA
RSI's both show over-bought.
Big gap up followed by lower volume.
FA
Horizons cannabis fund $HMMJ and $MJ will begin re-balancing around September. I predict some of CRON will be sold-off to maintain weighting.
Weed stocks are all "over-priced" and the recent cannabis supply agreement in Canada may mean further government supplied products hitting the market.
TA
RSI's both show over-bought.
Big gap up followed by lower volume.
Trade fechado: stop atingido:
SL was hit.
Bearish factors remain, but bad timing on my behalf in regards to Diageo news.
Bearish factors remain, but bad timing on my behalf in regards to Diageo news.
I am confident there will be some selling into the weekly close as the reasons for shorting still stand and I am sceptical of Diageo taking a significant stake in CRONOS at a potential PE of >1000.
Will adjust SL accordingly, R:R will now be 2:1
Bad timing for this short, considering other long trades I am working factor in possible mergers and buy-outs in the cannabis sector.
Source:
www.bloomberg.com/ne...d-producers-bnn-says