Technical analyst Clive Maund charts the cannabis company and explains why he calls it an "immediate strong buy."
Further to its being recommended a few days back for an upside breakout from the current bull Pennant pattern leading to another sharp upleg, this brief update is to point out that the pattern in Aurora Cannabis Inc. (ACB:NYSE; ACB:TSX) looks even more bullish now with a continued steady volume dieback, so that at the time of writing only about 3 million shares have been traded so far today compared with over 100 million in one day when it blasted higher in the middle of May. The volume pattern looks very bullish indeed and is consistent with a bull Pennant completing, and volume is now so light relatively speaking that an upside breakout looks imminent.
Aurora Cannabis is therefore rated AN IMMEDIATE STRONG BUY for another sharp upleg that is expected to commence very soon.
Another upleg in this large cannabis stock should have a positive effect on many stocks across the sector, including Icanic Brands that we went for a day later than Aurora.
Aurora Cannabis website.
Aurora Cannabis Inc., ACB, ACB.TSX, trading at $14.27, C$19.20 on 4th June 2020.
Originally posted on CliveMaund.com at 2.05 pm EDT on 4th June 2020.
Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years' experience in technical analysis and has worked for banks, commodity brokers and stockbrokers in the City of London. He holds a Diploma in Technical Analysis from the UK Society of Technical Analysts.
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Charts provided by the author.
CliveMaund.com Disclosure:
The above represents the opinion and analysis of Mr Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr. Maund is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Advisor operating in accordance with the appropriate regulations in your area of jurisdiction.