As we head towards October 17th…the day that cannabis becomes totally legal in Canada the main ETFs and some equities are running to resistance around the same levels that they did at the end of last year into January. It will be interesting to see if they sell off again. The difference now is that the industry has become much more legitimized in the last eight months. Recent news includes Coca-cola and Altria exploring opportunities, Goldmine Sachs and BOA Merrill advising on the Constellation Brands Canopy Growth deal, and big-time fund managers like Leon Cooperman investing in the sector.
HMLSF- The Horizons Marijuana Life Sciences ETF is testing resistance around the $20 level. This is the same level where it found resistance in January.
MJ - The ETFMG Alternative Investment Harvest ETF is testing resistance around the $40 level. This is the same level where it found resistance in January.
ACB - Aurora Cannabis is getting close to the $14 level. This is where it found resistance in January. This is the largest stock in the sector with a $15.15 bill market cap.
CRON - Cronos Group is trading right around the $11.50 level. This is right where the top was in January.