Chart Patterns and TA

[gfp927z]

The pot sector resumed its climb today after a 4 day consolidation.

After a huge 2017 (up over 50%), in 2018 the Pot ETF (MJ) had given back almost the entire 2017 gain, but suddenly it took off again in mid August with the announcement that beverage company Constellation Brands had taken a big additional $4 bil stake in Canopy. It was off to the races again for the sector, with a 50% gain in the Pot ETF over the past 3 weeks.

This is like biotech back in the good (bad) old days :o) Fun to watch and great entertainment. Looks like the Pot ETF could soon test the previous high near 40 (currently ~35). I'd watch for the RSI to hit 90, which is where it peaked before (RSI is currently 71.29). This time it might blast even higher, but if the ETF hits 40 it'll probably be time for a retracement..