Stop loss would be triggering for short sellers
This jump would now be triggering stop losses for technical short sellers. Stop losses is one of the key strategies for active traders is to preserve capital. Long or short.
The chart action on Friday proves it's impossible for charts to predict the future. All they do is provide the current bias in trading.
The bulls now have the upper hand in the market. This bullish enthusiasm caught some bears off guard without the forewarning of a bullish pattern on some of these names. Notably APH. ACB had seen a reversal of candlestick patters Friday.
The surprised upsurge in bull strength is exactly why more experienced and active traders have the stop loss mechanism for. Long and short. The bullish stop loss for short sellers was triggered across the MJ sector.
It's a time for bulls to rejoice, work together in a positive manner and get ready for the pullbacks. They will happen. Longer term investor may wish to take advantage of the lower price from the highs to reload if they too some profits at the highs or just hand tight.
We should have enough momentum to carry us well into the $9s and $10s barring any wider scale issues on the markets.
There's a few resistance points we will see which will be nice pullbacks to reload. Active traders will take profits at various points. So expect "trading negativity" from some traders.
On the fundamentals side, insider buying on ACB makes it an attractive choice not seen on other names. We are overdue for production news of the new crops from both SKY and VIE.
As mention, the April 20th date is a yearly "420" celebration across the nation and this year's will likely be the most flamboyant to date. Likely many new investors will be joining the party looking for both short term and long term gains.
Please be nice to your fellow investors and traders. Again, we are fighting the "algos" and computer trading systems. That's where the majority of the trading is happening these days. What is said here has little to no impact.
As a reminder, put attackers, bashers and pumpers on ignore. My goal here is to share information with like minded investors and traders.