Consistently Profitable Pot Stock Turns Higher

Yesterday the cannabis stocks were hot, and it appears to be the beginning of a new trend move higher.

And today’s trade idea is one of the first consistently profitable, vertically integrated cannabis companies.

In addition to being profitable this company has an exciting chart.

As you can see in the chart below, Harvest Health & Recreation (HRVSF) bounced of its 50-day moving average yesterday.

https://lh4.googleusercontent.com/AOtQtzQzQQboaCxU215NXLwwhjy4o1Swt7MdPbEQq2fNMlWP8nGZ1rqfBfIhWURsRgH5gtzBLdbKFUZP2MjVar2pbm0V-2uBcnzZ8iShT3mSwIp8Lks5LL3gksYVSe1aPNcU8Noa

This sets up simple retracement trade.

The entry is to be a buyer over $9 with a stop under $7.75.

The other exciting characteristic of the HRVSF chart is that the recent high around $10.75 is the all-time high. This means that unlike many pot stocks, HRVSF has not experienced a blow off type rally and crash.

As a result, HRVSF has a very good probability of breaking its all-time high and continuing higher.

One word of caution. HRVSF will announce its quarterly earnings on April 22nd or 23rd with a conference call at 8 a.m. ET on the 23rd.

This could be the catalyst that pushes it out to new highs. However, holding through earnings announcements can be volatile, and it is always unpredictable.

Trade smart,

Rick Nartarian, Chief Investment Officer
The American Investor Daily