I think the major consolidation is over! Very impressive retracement, sideways trading & volume control over the past few weeks! We may test the 50 day ma one more time and then after that leg back up to resistance levels. .40-.50 range. Look for some volume to come back into the stock next week!
People "investing" in the sector... this is a healthy much needed pullback from the MAJOR run we just enjoyed! It's apparent from the potential here that the market makers and institutions are giving everyone an opportunity to load the boat one last time before we break up to higher levels. This stock is real... the industry is real... and it ain't goin' away anytime soon. From what I read a recent article in the Denver Post brick and mortar dispensary are down over 40%. They shut down the shady stores next to schools, no licenses etc... Here's the kicker, overall state sales are up exponentially. The "legal" regulated products and dispensary's are absorbing foot traffic from the "illegal" entities and then some!
Some points to hit on...
Eric Holders upcoming decision (which IMO is going to be favorable and the droves of people lining up for both dispensary licenses and prescriptions in states where MJ is in its infancy stages (Mass and NJ are both prime examples). The sky is not falling! My take you are seeing something very special taking place. This is a "once every decade" opportunity to get involved with an emerging industry ground-level. Seize the opportunity and don't nickel and dime price at this level. If the stock is trading at $30.00 some day, the extra .05 your looking to shave off of the trade isn't going to make a difference. BTW, all the negative articles that were recently written were created by pissed off traders and fundholders that missed the opportunity. Keep that in mind when you are doing your DD!
Long & Strong the sector!!...
