Canadian CANNAINVESTOR Magazine April / May 2018 | Page 206

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Cannabis Science is an interesting company in that the name really does summarize in short what they are about: Cannabis and Science. I could go on, but I know that is not why you reading this section of the magazine. You want to know what the chart is telling you. Let’s take a dive in and see what the chart is saying here now.

Wouldn’t it be nice if we had some signal that helped tell us when it was time to buy or sell a stock? Yes. Yes, it would. Am I alone on this? Don’t think so. I would like to introduce to you the Aroon indicator. Before we get too carried away I would like to remind you that it is not a crystal ball and as we always recommend it is best when using in conjunction with the other charting techniques we discuss here. With that out of the way, let’s go over how this works. At a high level, the Aroon can be used to identify trend and spot reversals. There are two lines represented. One is bullish (green line) and one is bearish (red line). The higher they are on the scale equates to how strong either indicator is. What you want to watch for his which one is in control. That means to check to see if the green line or the red line is higher. With that mindset in place, we can use the crossing of lines to trigger our buys and sells. Remember that this on its own is not enough and in the chart, you will see an example of where it works out well and where it fails (minor loss in comparison). When the green line goes up and the red line goes down below the green one then that would be our signal to add some shares and vice versa. May the science of cannabis charting be ever in your favour.

CANNABIS SCIENCE

(OTC: CBIS)

(note: this is an American ticker for those of you looking to diversify)