On the downward slope of share prices in the cannabis space, I kept reading posts from retail investors asking:
“Have we hit the bottom?”
It only takes one good day for one or two pot stocks for the mood to swing. Reading between the lines, of course, there is a lot of wild hope. Retail who bought the cannabis market on every stage of its descent into the abyss need a crumb of comfort. Is this the day things will turn positive?
Unfortunately, the generic answer for the last year has been:
Retail investors are prone to optimism. The hardened trader knows how to take her losses and walk away. The private investor, with a story they want to tell about the product or their own investment skills, tends to sit on their hands. It it tough to sell at a loss.
So, are we there yet?
What do I know? Nothing.
No-one should follow me for investment advice. Still, it does seem like this quarter’s results have seen some sunlight; or at least the settling of the dust from the meteor hit of doom.
The EFTs are up; a single crumb of average to good news has rallied individual stocks by 50%+. Finally, maybe, the Canadian LPs have steadied their sinking ships. It is plausible that cannabis could be a profitable enterprise?!
Easy there, tiger.
This Much We Know.