The entire key to understanding the mechanistics of a mania is that it is primordially triggered by a tremendous upsurge in SENTIMENT
Not in your own sentiment
But in the sentiment of the prospective investor
So you need to put aside your own knowledge, viewpoints and sentiment to really understand what is about to happen
And you need to get inside the mind of the prospective investor, who knows A LOT LESS THAN YOU DO about what has been going on in the sector this year
— — —
So right now, here is what the prospective investor thinks of the cannabis sector:
No progress on the cannabis legalization front will ever be made with this administration
Sessions hates marijuana and if anything, has not only slowed the progress of cannabis legalization, but has reversed it —after all, he rescinded the Cole Memo just days after California started selling MJ
Trump hates drugs because his brother died from alcoholicism and he views people who use drugs as losers
Trump doesn’t really seem to care much about the issue of cannabis legalization
Congress is Controlled by Republicans, who are predominately old, white men, the very segment in the polls for MJ Legalization that has the lowest support at only 35%
I could go on and on
The main point being, the prospective investor masses are going to be SHOCKED by Hemp Legalization passing the Senate, especially because it has been spearheaded by a guy like Mitch McConnell, who most view as the last person who would do such a thing
And then, AT THE VERY SAME TIME, the FDA admits that CBD has medical value, which will almost certainly trigger tons of discussion from the media and Republican politicians, about the urgent need to Reschedule MJ
That’s 2 enormous federal governmental catalysts that will cause IPA to skyrocket immediately
Everybody will be looking to invest in Hemp & CBD stocks immediately and FOMO will take center stage
And that is what MJ MANIAS are all about
The skyrocketing of prospective investor IPA, usually due to game-changing catalysts that score in the 9-10 range
This time will be a little different than past manias, as we have TWO SIMULTANEOUS CATALYSTS — the ONLY SUPERCATALYST for Hemp stocks and another one I rated at 9.5 in December 2017
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