HMMJ, Hemp ETF Bull Market Update.

This chart is a bit old, but this morning’s action doesn’t change any of the wave counts. HMMJ is already at $20 this morning.

Talk about a wild ride with this Hemp related ETF. It peaked at $25.56 before it reversed in a dramatic fashion. Any move like this cannot be maintained and it must correct. To go vertical it does so under high speed until no more suckers are left chasing a bull market. As a herd they have to take a break form buying as well.

I counted the bottom as a truncated 4th bottom, but with a small degree. If there is more to this bullish phase, then we should get some type of a 3 wave declining wave structure, much bigger than any correction we have seen. We have gaps open well below present prices, but they can’t be trusted for potential reversals at this time. If we are in any type of a wave 1 top, then a 50-60% correction could happen.

The $13 price level is my previous 4th wave of one lesser degree, which also matches the bottom trend line. On Monday I sold my Hemp stock after going ballistic, but I will buy it back once a sufficient correction unfolds.

Finding a great bottom with this HMMJ ETF will not be a walk in the park, as we can be far off the mark when it happens. Now if the 6 o’clock news is full about crashing Hemp stocks, then chances are good any bearish phase has ended, and a reversal would be near. Of course we have no clue at what price level that can happen at.

Our entire planet runs on price and fundamental analysis, but everything I do is pattern related. The pattern has to show itself first, as it matters little if a wave 2 bottom is $5 or $50