WEED Symmetrical Triangle BreakoutAfter a few weeks of watching canopy and trying to short it. I've become convinced its going to produce a similar breakout from the previous rally.
Jan 9th > The first breakout started. Support began then the crowd started to rally and it produced substantial gains for longs leading into the next congestion phase.
Jan 14 - Jan 24 > The Bull flag congestion print which held selling volume and built up buying pressure to move it to a higher point.
Jan 28 - March 7th > Symmetrical Triangle Breakout - Jan 28 hit a top then 67.99 Feb 4th. Earnings were on Feb 13 which showed poor EPS however revenue was stronger than last year which is what captivated the crowd. The continued support is due to the sentiment of the overall market. Participants believe its going to the moon. April 1st stores open. There is a good reason to be optimistic about WEED/CGC and the market in general. (Fluff) Feb 15 was light due to ER mixed feelings of poor EPS and high revenue from prior earnings.
Hit a support level of $56.49 on Feb 25th. My target is within a few weeks for this to breakout like it did in October. Similar formation has formed. There seems to be strength behind canopy still. I plan to make this a mechanical trade and stick to what I've listed below.
This is my analysis I think there will be a breakout happening shortly which will push it into the 70 levels in the next few weeks. This isn't trading advice just my idea.
Call Contract expiring March 22nd Cost $3.45 Per contract. Target is $74 3 contracts
Stop price is $2.2 Delta is 0.53
Full sell of all contracts at $56.50 as this is support if it breaks then my trade is wrong.
