Charts indicate chance of 50% upside here

TL;DR

Canopy Growth and Tilray, two marijuana stocks, have been in a downtrend but show signs of a potential rally due to momentum divergence and strong resistance levels.

Transcript

hello it's John Burford with chart of the week for Monday 24th of February and I'm re covering canopy growth one of the very large marijuana stocks that have come on the scene in the last few years it had been in a massive Down trend on the first time I covered it around about here in November the 11th in this region here and I'd noted that the mos... Read More

Key Insights

• 👋 Canopy Growth showed a potential rally based on a five-wave pattern and momentum divergence, with a target price of $28-$30.
• 💪 Tilray exhibited a stronger bullish potential compared to Canopy Growth, with a recovery mode and a longer period of momentum divergence.
• 👋 Resistance levels, such as the previous 4th wave high and a large gap, pose significant barriers for price movement.

Questions & Answers

Q: What were the key observations made in the analysis of Canopy Growth?

The analysis of Canopy Growth focused on a five-wave pattern, momentum divergence, and the significance of resistance levels. These factors indicated a potential rally with a target price of $28-$30.

Q: How does Tilray compare to Canopy Growth in terms of bullish potential?

Tilray has a more bullish potential than Canopy Growth due to a longer period of momentum divergence and a recovery mode. The forecast suggests a rally up to around $30.

Q: What is the significance of resistance levels in the analysis?

Resistance levels, particularly the previous 4th wave high and a large gap, are important areas for potential turns in the price. They act as strong barriers for further upside movement.

Q: What factors led to the bullish outlook on marijuana stocks?

The analysis considered patterns, momentum divergence, and resistance levels. These factors, along with the overall positive sentiment towards the marijuana industry, contribute to the bullish outlook.

Summary & Key Takeaways

• Canopy Growth was in a downtrend but showed a potential rally based on a five-wave pattern and momentum divergence. The target price is around $28-$30.

• Tilray, another marijuana stock, experienced a downtrend but is now in a recovery mode. A strong momentum divergence suggests a potential rally up to around $30.