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CannaRoyalty Corp. (CSE: CRZ)
Let's go back and take a look at one of the companies we have previously analyzed in the later months of 2017 and take a look at some of the technical indicators we can use to help us keep track of it and find support along the way. If you recall we had previously shown that CannaRoyalty was displaying a cup and handle on the chart. It has not gone full tilt crazy like some of the other marijuana stocks in the sector but nonetheless it is up form when we called this last. There are many reasons why it may not have taken off like a rocket, but perhaps with it’s Aphria related LOI and as a player in California market there is that potential catalyst yet to kick in. That aside, let’s go take a look at how we can use the ichimoku cloud to help us find levels of support and resistance. Yes I said ichimoku cloud. Sounds a little bit different because it’s creator was Japanese and comes from Japanese derived meanings. Nonetheless, the purpose of this tool is strictly for charting. At the end of the day, isn’t that really what we are here for?
The ichimoku cloud is used to define levels of support and resistance. It calculates and charts this out into the future for 26 periods by default. Part of why this tool is so popular with certain traders is that it can be referred to or translated as the “one look equilibrium chart”. OK, enough with the small talk and get to the point already is what you are probably thinking right about now. Understood. Here it goes: When the prices are below the cloud, we refer to the cloud as resistance. When the prices are above the cloud, we refer to it as support. Also, when the price is above the cloud, we are bullish, and bearish when below. Within the cloud itself there are two lines that it is composed of. And for support purposes, when
Note: The chart uses OTC: CNNRF - this is the same company