Is MJ getting ready to break $24?
Updated
Too early to tell, but it looks as though MJ is bouncing off a $24 resistance level while also developing a bearish divergence in the RSI and MACD. If MJ stays within the drawn channels, I could see it selling off a bit and testing the lower channel/MA to form an ascending triangle. This should also create the opportunity to bounce off the RSI support and make way towards the $24 level again. I believe MJ has a positive long term outlook, so I would most likely be a buyer of a $24 break or a $22 retest of the lower channel...interested to see where it goes from here.
Trade closed: target reached
We busted straight through $24 and headed towards the mid 30's. We saw a snap back down to the mid 20's where it looks like it's finding support. I expect it to continue trending up but would not be surprised with whipsawing volatility in either direction as it is a "hot" speculative sector.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.