Bigger Picture

Note: I publish “The Universe” every weekend, updating my support and resistance calculations for Marijuana sector stocks. It is not a projection, but a handy reference… Non-Marijuana stocks are covered elsewhere during the week.]

Links to || Last week”s Universe || Prior week”s Universe || Previous week”s Universe ||

Last week ended on a high note for several of the higher-profile beloved marijuana sector”s stocks. Now, there”s a lot of words you don”t often hear in the same sentence.

Anyway, as discussed here last week the action came pretty much right on schedule for January Effect candidates trying to get recognized. But it”s still early for the actual rally legs. This is still just the bubbles floating to the surface before coming to a boil.

Be sure to attend Thursday night”s members-only webinar, we”ll learn how to spot candidates — and how to dismiss other. We”ll reserve some time for reviewing requests.

Enjoy!

The recording of tonight”s Livestock Unlimited:
https://roddavid10.mitel-nhwc.com/join/kfpxjft
It is in the version that requires downloading the player. That default is now changed for sessions going forward.

We discussed three aspects of the marijuana sector, as reflected in TRTC, ATTBF and TAUG. We also discussed the following charting and technical analysis concepts:
– Descending Triangle bottoms
– Head & Shoulders retracements
– “Compensating for the delay”
– Falling Wedge
– Trade selection

Be sure also not to use the Puffin browser — use Chrome, Firefox or Safari. The issue causing my name to appear in place of some attendees has been fixed. If you used the teleconference bridge, please provide feedback on your experience so I can make judgements and adjustments going forward. Thanks!

Here is the link to the 4:45 ET Livestock Unlimited:
https://roddavid10.mitel-nhwc.com/join/pcxsrhm

Here”s the teleconference info for iPads and tablets:
Toll Number: (605) 562-0020
Meeting ID: 976-912-682 #

Please post to this thread if you”re experiencing any difficulty. Post in the meeting any stocks to review. See you soon!

Well, that was fun. As declines go, yesterday”s decline was pretty big. As wooly mammoths go, yesterday”s decline was still a contender. At 130 Dow points vs. yesterday”s 260-point intraday low, this morning”s decline measured half of a mammoth — half of yesterday”s mammoth.

Today”s mammoth may be on the verge of extinction, as it was just shrunk entirely. That is, the Dow just returned momentarily to unchanged.

This morning”s opening gap down already bounced to fill that gap, and filling that gap resolved down to new lows. There was a bearish reason to fill the gap at the open, which was to neutralize its attraction above. Having capitalized on that, there”s no bearish reason to do it again.

That”s not necessarily a bottom, just potentially. Greeting tomorrow”s Employment Situation report from under prior lows probably won”t react favorably. But sellers might be marginalized for the balance of today. And that wouldn”t be favorable to marijuana stocks, since beaten-down market leadership would become more attractive.

Post any chart analysis requests to this thread. And don”t forget about today”s post-close weekly Livestock Unlimited at 4:45pm ET. (I”ll send the link and a reminder after the close.)

Today”s Livestock recording:
https://roddavid10.mitel-nhwc.com/join/shkpszj

Today”s Livestock summaries:
DEWM — Example of “oversold bounce poster chile” returning to its origin.
FSPM — Ongoing decline is not bottoming.
VPOR — Oversold bounce correcting, could bottom at .0172-.0206, or else probe fresh lows. Closing above .035 first would be bullish.
MCIG — Testing the Falling Knife setup”s .25 target as support. Closing under .215 would confirm new lows in-play.
GBLX — Must hold retest of .79 to keep alive 1.00 buy signal.
VAPE — Reacting down appropriately from high-volume test of 2.25 resistance, but must hold 1.88 as support, preferably, closing above 1.97-2.05.
ATTBF — Bottom doesn”t require retest, but retest still possible until .33/.35/.37 resistance is finally recovered.
HEMP — .0275-.03 possible low, being tested now, but otherwise new lows in-play.
CNAB — Completely retraced to rally”s origin after stopping just short of its triple. Wouldn”t buy strength now, must probe fresh lows. Probably a JE candidate.
GWPH — Regardless of strength at its 75-77 target”s 77 upper-end, still targeting the 75 lower-end
TRTC — In need of correction. Resuming the rally too soon would find little if any strong-handed accumulation.
TAUG — New lows remain in-play, even if only a temporary probe.
FITX — Reiterating that this is not a bottom.
ERBB — Attacking its .0176 minimum buy signal.
TKMR — Not a coincidence that the rally”s original 24.50 target is now suddenly supporting the opening gap”s reaction down. Closing above it is not assured, especially for a stock that surges not for a corporate achievement, but for suddenly getting more notoriety.
NLNK — Warned this morning that 25.40 still needed recovery to be bullish, and it served as resistance.

Today”s Livestock self-portrait:

(Silly, Livestocks can”t draw.)