Canadian CANNAINVESTOR Magazine November 2018 | Page 240

The Green Organic Dutchman (TSX: TGOD)

The Green Organic Dutchman (TGOD) is a company that has gained a lot of attention recently and is constantly being discussed by investors within the cannabis industry. Per their website the vision of TGOD is: “TGOD is committed to becoming the global leader in delivering organic cannabis solutions that enhance people's lives while setting the industry standard in sustainability.” Like TGOD, we want you to have a vision and a future path to gains within the cannabis investing space. What better way to do assist you in this quest then explore some technical indicators that combine multiple factors into one to help aid you in your portfolio positions. You will find a way to follow the flow of money as it is happening.

You can follow the flow of money with the aid of the Money Flow Index (MFI) indicator. The MFI is similar in nature to the more commonly used RSI except it has the benefit of using both volume and prices whereas the RSI does not use volume in its calculation. This is beneficial if you believe that volume leads price. If you are not sure about this, revisit the charts of your favorite stocks and look at the volume while the prices begin to breakout. Do you see increased volumes? When looking at the MFI, generally speaking, the

The top half is bullish and bottom half (below 50) is generally bearish. This is not always the case, and you shouldn’t use this alone as a means of measuring that sentiment; however, it can help confirm the trend when compared with your other technical analysis. Similar to how the RSI is used, look for potential tops when the MFI indicator very high (above 80) or potential bottoms (below 20). When you see the indicator reach these levels you should be on alert for potential reversals. These reversals do not have to happen, but they are more probable to when the MFI reaches this area. When the MFI reaches these levels be ready to lock in some gains or start a position and get ready for its next leg up. May the money flow index help money flow into your pockets.

Note this chart uses OTC: TGODF - the same company

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