So where does ACB go from here? Earnings were released---disappointing as expected.
No reason for the stock to go higher any time soon.... As corporate hunchos informed stock holders that 3rd quarter earnings will be flat....
We saw an oversold bounce today---as the RSI on the hourly was below 22..The high today was $2.07.
Based on disappointing earnings and write-downs and cutbacks, and a glooming forcast for the 3rd quarter in another 3 months, there is no way ACB should go above $2.07 (the higher of earnings release). But, the stock market is unpredictable....Traders can run up the stock---and then sell. We saw this a couple of weeks ago, when ACB's share price reached $3....and then tanked, and then tanked again after the company released bad news...
Today, ACB is trading lower than yesterday's high/low... Today's high $2.07..and the low $1.91. So the downtrend continues....
In my opinion, we still have a falling knife--meaning we are not at the bottom. Candlestick charts will give us a good indication when the knife finally drops...
I expect ACB to drop below $1.91 today, tomorrow, next week, few weeks. Many analysts give ACB a $1.00 target price for the next 12 months.
The reputable Yahoo/Finance gives ACB a $3.15 target price for the next 12 months. Bagholders are not going to make their money back any time soon.
https://ca.finance.yahoo.com/quote/ACB.TO?p=ACB.TO
And, if ACB closes near or at the bottom today, expect another lower low tomorrow.
As well, the entire pot sector is waiting for Canopy/Weed to report earnings tomorrow. If they disappoint, expect all pot stocks to dump...
I expect ACB to decline below $1.50 in the next few days...weeks....
We have a nightmare!!!!