THE HEMP & CBD BEVERAGE MANIA IS NOT WHOLLY DEPENDENT ON HEMP LEGALIZATION
As I recently remarked here, Hemp & CBD Beverages have only very recently entered the consciousness of the investing public over the past few weeks and the short-term disappointment all of us feel over The 2018 Farm Bill deadline passing without being signed into law is not predictive of anything, except it may be a causative factor in people selling at the bottom, right before the OTC Hemp & CBD Beverage sector takes off
A pair of Nasdaq/AMEX stocks recently announced their intention to enter the Hemp & CBD beverage space and look at the market’s reaction — this is a manic reaction:
Had these companies made identical announcements a few months ago, I do not believe the market would have reacted this way
Manias are all about timing and sentiment
If the sentiment is very bullish in a particular area, a company’s announcement of a product offering in that area can cause a manic reaction
If the sentiment isn’t particularly bullish, and the exact same company announcement is made, the market won’t have a manic reaction
So the manic market reaction is entirely sentiment-based
Of course, any mania in Hemp & CBD Beverages would be far larger if it was accompanied by Hemp & CBD Legalization, and I’m confident we will most likely see that happen in November, or December at the very latest
In the meantime, it appears that the Coca Cola announcement of interest in Hemp-derived CBD-infused Beverages has acted as a catalyst for the market to become extremely excited about the Hemp & CBD subsector
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