A Quick Synapsis of CGC Stock’s Short-Term and Current Outlook
(By Glenford S. Robinson)
Canopy Growth Corp (NYSE: CGC) will reverse its downward trend when the price gets to about $27 per share; this is when it will reverse back toward its mean of around $28 per share.
CGC stock will remain at these price levels for a while until there is a positive news catalyst that will catapult the stock back up toward the $40 area where it will stay for a day before it begins its downward trend back toward its weekly moving average of $28 per share.
The stock is currently trading at the 31.70-33.83 price range as of this writing (Oct. 30, 2018).
At the present time, investors who bought into the Canadian legalization rumor/hype are now taking profits now that legalization has become a reality in Canada.
These investors who are now taking profits will eventually buy back the stock when it gets to the $27 price level. This is what smart money does. Smart money is the term used for investors who are successful players in the stock market trading game.
Less savvy traders will exit the market as a result of such low CGC price levels. And this is when smart money gobbles up their spoils.
It is highly unlikely that the stock will head back up the charts up toward the $53 level anytime soon unless there is an amazing news catalyst. With that said, the stock will eventually get back on its uptrend trajectory, but there will be some stagnation before this happens.
These inferences were devised by employing the Mstardom Finance proprietary trading strategy. To receive analysis on your favorite stock, please subscribe at Mstardom.com
Note: We do not provide analysis of pump and dump penny stocks. The stock must have solid fundamentals or a tangible money-making business strategy before we analyze it.
Granted that some stocks trade at very low prices because these stocks have fallen out of favor with Wall Street. Stocks such as these do not qualify as pump and dumps. Pump and dump stocks are those stocks that do not have a tangible money-making business strategy.
Disclosure: I/we/Mstardom Finance is long on CGC.
Disclaimer: ©Mstardom, Inc., Mstardom.com, Mstardom Finance does not provide investment advice.
I am a Clinical Lab Scientist, entrepreneur, investor and trader (stocks and Forex). I enjoy writing and publishing articles online.