Hempco Food and Fiber Inc (TSXV: HEMP)
Before we kick off our investing story, let’s take a quick peek at a hemp related ticker from a technical perspective. Let’s take a technical peek under the hood at Hempco and how we can use indicators to help us find signals to buy or sell. Hempco is an interesting company and one that is sure to be looked over by potential investors simply alone on the ticker being HEMP on the TSXV. as we know, Hemp has been in the news more frequently recently making this company name more likely to come across the screens of many while they look into hemp companies to invest in. per Hempco’s website, they state: “We are the only company with a complete Seed to Home model that emphasizes a whole-plant utilization strategy.” And like Hempco’s approach, it may be wise for you to take a complete investment approach that encompasses both the fundamental and technical side of things. Let us now take a peek at a technical indicator that can “hemp” make your investment decisions more timely.
If you recall we have previously covered accumulation a year ago. To review click here <insert link to JAN 2018 mag> Today we will turbocharge this indicator to help you find a signal that identifies potential buy and sell signals. Presenting the Chaikin Oscillator. This oscillator measures momentum in the Accumulation Distribution Line using the formula found in MACD. So, think of this as an indicator of an indicator - in other words, a turbocharged indicator. By tracking the rate of change in the accumulation and distribution we get signals when the value oscillator value goes above zero and as a buy and below zero as a sell. As with all technical indicators, we do not want to rely on this one indicator alone, but rather to pair that up with our other observations on the chart. This indicator of an indicator can help you identify your next entry or exit signal. Like the idea behind this oscillator, we hope you can add this to your toolbelt to help turbocharge the gain in your portfolio.
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