Washer’s Weeds 11/19/16
What a fricken week!
Price explosions, circuit breaker halts, stop runs, filled gaps, price implosions, more halts, short squeezes, again halted….in all 5 of my weeds!…mercifully it ended…..up. I have never seen action like this in 15 yrs of trading.
My nerves are shot. Now I drink in the morning and rarely show up for work. I miss the stability of pm miners. I even scalped Yamana for a nickle on Monday just for old times sake. (Sex with the ex).
I’m thinking of ordering some astronaut diapers so I don’t waste time in the washroom during market hours.
Here’s the current media knock on weed producers:
-Valuations are insane. (2 of my weeds are over 1 billion marketcap).
-They make no money.
-They are in debt.
-They are all frantically planning and building out massive amounts of production capacity that can never be supported by the current prescription market alone.
Here’s the real dope:
-Trudeau is a pot head. His dad was a pot head. Washer is a pot head. Soon you will all be pot heads.
-Legalization is going to happen. They are discussing details…not objectives.
-There is not enough capacity to fill this future demand (2017).
-There is a huge temptation for American investors to buy Canadian producers. American Federal and state laws are contradictory….and too great of a risk.
-There are very few serious players in this space.
-This is a very young bull market…..you have a clear trend with volume support and a huge catalyst in the future.
Great family fortunes were made by Canadian booze producers (think Bronfman/Seagrams) during and after prohibition because they were unencumbered by law and had the capacity in place for when the market turned. The parallels here are obvious and actionable.
While the apparently parabolic charts seem like an invitation to chase high prices….this bull market is barely 1 yr old. It began with the election of Trudeau. The end is not in my sights yet.
Here are the 5 weekly’s:
All acting in unison. Harmony. Mutual confirmation. Peace. Love. Jimi Hendrix.
I rotated my core position into MT mid week. They have the most favorable business model and the lowest share count. ACB has a 50 million share overhang. They will free trade soon and are hugely in the money.
My positions usually change every week. I have the attention span of a fruit fly.
Disclaimer:
This weekly blog is for entertainment purposes only. I am not responsible for any losses which you may incur investing in the 5 weed stocks that I cover. I also do not condone the use of Marijuana. Or the consumption of pizza. Or listening to Led Zeppelin. They sucked. You were high.
LOL Washer !!!!!
https://youtu.be/9Q7Vr3yQYWQ
How Ironic is that
Trudeau gets elected and weeds go wild
Trump gets elected and PMs go down
Washer gets elected and ya’ll get your tax refunds in buds. 🙂
Trump does not oppose legalization.
Yes, we were high. But MY ears were tuned elsewhere back then, at least after the first two releases.
One of these days I’ll see what the new stuff is like. Been about 15yrs since my last encounter.
Thanks for the update. I too believe in the Kush Bull, amazing potential. I haven’t done any DD on this though, do you think big tobacco will try and participate in this or are they already? Sorry if that’s a stupid ass question, just seems if tobacco companies don’t pivot they’re going to die a slow death as tobacco becomes more vilified.
This commentary continues to be of exceptionally high quality.
(On Schism’s note: Even in the 1970s if not even 1960s it was commonly rumored that the tobacco companies had done their research and were ready to hit the ground running. More recently I have seen (but not read) 1 or more articles about Monsanto and maybe some other big companies allegedly preparing to control the bizz. I do not need or use external input to fog my mind, so in my naturally scatterbrained state I might be making all this up, but I think that a skim of a blurb or an introduction might have suggested they were getting ready to control quality control, regulators, and the interface between the two.
Addendum: I haven’t read–, but if interested you could try
http://www.counterpunch.org/2016/07/08/monsanto-bayer-and-the-push-for-corporate-cannabis/
http://www.counterpunch.org/2016/06/24/the-war-on-weed-is-winding-down-but-will-monsanto-emerge-the-winner/
http://www.worldnewsdailyreport.com/monsanto-creates-first-genetically-modified-strain-of-marijuana/
http://www.mintpressnews.com/did-monsanto-really-just-get-a-patent-for-gmo-marijuana/204480/
Thanks for the links. An eye opener to say the least. This is all very new to me…learning as fast as I can.