BREAKING New Pot Legislation Signed
Breaking pot news, folks…
On Thursday the U.S. House of Representatives approved an amendment to protect state-legal cannabis programs from interference by the U.S. Department of Justice.
The amendment was approved by a vote of 267-165 and is a clear-cut example of how marijuana is one of the few things that still unifies our nation.
The bill specifically prohibits the Justice Department from preventing states, Washington, D.C., and U.S. territories from creating and managing their own adult-use and medical marijuana programs.
Thursday’s vote marks the first time a congressional chamber has voted to fully protect state-legal cannabis programs from Justice Department interference.
This is big, BIG news.
And It’s Perfect Timing, Too
We’re seeing a proprietary pot stock buy signal flashing green for the first time in more than a year. This indicator isn’t prone to false positives — the last time it signaled a buy for the pot market, the average pot stock doubled.
And it opened the door to some utterly massive gains before…
The signal I’m talking about is the trendline in our exclusive Penny Pot Index.
The Penny Pot Index is a proprietary stock market index that tracks a basket of actively traded pot stocks. Think of it like the S&P 500 index or the Dow Jones industrial average, but for cannabis stocks.
We developed this index in-house as a way for us to track broad trends in the whole marijuana industry, giving us an instant big-picture look at what’s happening in the market.
Take a look at what’s happening in the Penny Pot Index right now:
For the first time since fall 2017, the index is touching its long-term uptrend line.
Historically, that’s only happened a handful of times since we launched the index — and so far, each test of that important trendline level has resulted in a rally for pot stocks.
Last time I pointed out that the Penny Pot Index was testing that key line in the sand was Sept. 21, 2017, when I said that our pot index looked ready to rally. Sure enough, the index doubled just three months later.
Similar near-vertical moves higher happened way back in early and mid-2016.
We’ve enjoyed some intermediate trends in the pot stock market (like the dashed lines on the chart above), but this trendline (dark black) is the big daddy.
History Repeats… and You Profit
History rarely perfectly repeats itself in the stock market. But you’d better believe that it rhymes all the time.
And if the current market environment for pot stocks ends up rhyming, it could propel a huge rally in the months ahead.
The prolonged correction that we’ve been patiently waiting out since last fall looks a whole lot like the one that led into the last surge off of this trendline, only longer term.
If the resulting bounce looks like a stretched-out version of the prior bounce, we’ll be in fantastic position to profit.
That’s why we’ve been opportunistically picking up beaten-down stocks along the way.
And we’ll continue to do just that as this bounce takes shape.
The price action in the pot market this week looks very promising.
I’ll keep you posted as things develop!
For Technology Profits Daily,
Chief Technology Expert, Technology Profits Daily