Time to buy the Pot Doctor – GrowGeneration Corp

Hey There Income Hunters,

 

I have been quietly accumulating shares in Cannabis stocks.

 

Finally this week we saw a major political change that means Q1 of 2022 will provide the launching pad for this home run industry. 

 

Late last week Republican-led cannabis legislation proposed to deschedule cannabis and regulate like alcohol. 

 

Now, Republicans have been voting down cannabis legislation for years. This could be a major turning point and a very bullish signal. 

 

On Monday the MSOS Cannabis ETF saw its largest volume ever and gapped above the 50 DMA. It did come back down but is building a base.

 

I am wildly bullish on cannabis for next year and I’m not high. I just like to get in early on major bull markets….

 

Care to join me? I’ll share my trades and give you more reasons for getting in.

 

Here are a Few Key Details in the Draft Legislation

 

      • A 3.75% excise tax would be imposed on sales. Revenue would support grant programs and Small Business Administration (SBA) aid for newly licensed businesses.
      • Raw cannabis would be considered an agricultural commodity regulated by the U.S. Department of Agriculture (USDA).
      • The legislation would grandfather existing state-licensed cannabis operators into the federal scheme to ensure continued patient access and incentivize participation in the legal market.

It is finally time to take about the SAFE banking legislature as an inevitability in early 2022.

Now let’s look at how much MONEY there is to be made

From a global perspective the US fundamentals are a 10th of fair value… Not bad a 10 bagger before institutional investors even get a chance to play?

Buy this Stock TODAY!

Introducing GrowGeneration Corp. (Ticker: GRWG)

Known as the Home Depot of cannabis in America, GRWG is currently the largest hydroponics supplier in the country. The company operates in 13 of the 18 states that have adult use and will expand to all 18 in 2022. 

GRWG has quickly become a one-stop shop for growers of all sizes, able to assist with complex issues of planning, growing and sustaining a commercial agriculture facility.

Earnings were just released yesterday and they more than doubled quarterly revenue although guidance lagged estimates.

None of that matters, GRWG is making a profit and has made excellent acquisitions to dominate the industry as the go to for producers. 

The Technical Picture

The technicals are outstanding for a purchase here. Earnings brought out selling and a new low brought out a lot of buying.

I don’t know if this is THE low but the risk/reward is good and your probability of success is high.

The Trade

Check out the APR14 25/35 call spread for $2 paying a high of $2.10 …

      • Your max return is 375% the strike differential (10) minus the cost (2.10) = 7.9
      • The return is net profit (7.9) divided by the cost (2.1) = 375%

 

Bring It Home

It is good to have a couple of long-term game plans that diversify your risk. I love the metals and miners and the US Cannabis companies for 2022.

This is really good timing to accumulate positions in both.

Join me tomorrow at noon when I will be trading live markets with Mark and running through a number of future winners… See you then..

Live and Trade With Passion My Friends,

 

Griff

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