TSXV:EVE.H - Post by User
Post by
MJVigilanteon Jan 09, 2020 12:03pm
106 Views
Post# 30534860
why?
why?i posted this on another site but it applies here all the same..
let it sit a few more days until my daughters TFSA is set up. Then it can ride.
Anyone with money in the market has to realize a few things.
1-There is a product cycle and we are at phase 2 which is the trough that weeds out the weak. Once we get into the 3rd pahse we ramp up to real value and general market acceptance of the product (ie 2.0, reduced BM ...) this phase will start soon and could last 3-4 years.
2-the general hysteria has passed for this industry - another big boost will come with US legalization (federal) and the ? is will we get sucked into there phases or not, but nothing else will cause the stupid valuations we have already seen come and go. Profit will be the factor.
3-the markets are irrational, they move as they do - not as you think they should. As one of the greats said, the market can remain irrational longer than the investor can remain solvent.
4-we are currently in an irrational sector. (IMHO f'd up by ACB, Tilray, TGOD and the early flashers)
The cycle looks similar to a mine cycle but could not find my reference easy so here are the cycles -1 run up for the hysteria, 2 trough for realization you are f'd and product development ..., 3 -run up, the market acceptance starts and weak companies gone, good co's and products remain and become profitable,4 the market saturates and price normalizes.