Cannabis stocks watchlist Nov 19th
As per yesterday’s commentary & video on the marijuana stocks, the “Buy the Rumor, Sell the News” correction is most certainly in play today following, as per this headline from the Washington Post: Marijuana wins big on election night.
The Post reports that “Voters in California, Massachusetts and Nevada approved recreational marijuana initiatives Tuesday night, and several other states passed medical marijuana provisions, in what is turning out to be the biggest electoral victory for marijuana reform since 2012, when Colorado and Washington first approved the drug’s recreational use. In addition to the states above, local outlets in Maine are declaring victory for that state’s legalization measure, but with 91 percent of precincts reporting just a few thousand votes separate the “Yes” and “No” columns.”, as well as; “On the medical side, voters in Florida, North Dakota and Arkansas have approved medical marijuana initiatives. Voters in in Montana also rolled back restrictions on an existing medical pot law.”
Great news for the pot stocks! Right? Longer-term, absolutely but as this screenshot of my watchlist of the 29 marijuana related companies that I’ve been tracking illustrates, it is very clear that this seeming good news is being sold into as these stocks plain & simply got too far ahead of themselves with the manic buying frenzy leading up to the elections.
I’ve just returned to my desk from an appointment & will catch up on the markets & any questions/comments in the trading room asap and as mentioned yesterday, I will continue to monitor the marijuana stocks closely to identifying the most objective levels to begin strategically increasing or adding back exposure to the sector.