Earlier this month, we covered a potential breakout scenario for Canadian cannabis stock Cronos Group (CRON).

 

Cronos-Update-6-2018-300x282 UPDATE: Cronos Breakout Target Hit, Uptrend Near Confirmed

The setup illustrated in steps (1) and (2) show the anticipated breakout.

We had an initial target of $7.94 which was eventually hit (3).

Price immediately corrected but is appearing to base (4).

Resistance at (3) had been tested three times. For an uptrend to fully materialize, price would have to stay above (4) while exceeding (3), preferably with high volume supporting the move.

The high of yesterday’s session would have been a nice entry point with a stop at the low.  A short-term target would be at (3), while a longer-term target would be at $10.30 which marks another significant resistance level.

 


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