Here’s how I know the market tone is changing…

I’ve said before that stocks are going to have a good summer, and I know we’ve seen some up days and some down days recently. The cannabis stock recovery has been on hold the past few trading sessions because, with a solid amount of jobs being added, investors don’t think the Fed will cut rates when it meets next.

I’ll have more on why that is important later on.

However, from June 25 to July 2, we still got an early taste of what should be a good summer. During that time, 24 cannabis stocks climbed by 4% or more in just one week. In the table below, you can see five of the biggest winners.

That doesn’t include members of our model portfolios, with four experiencing double-digit gains during that same time.

Now, I’ve mentioned the reason behind the change in market tone before, but I’m going to talk about it again because it’s important that all of our members understand what is going on.

By knowing how the market operates, you’ll become a better investor.

Then, when you start to see a change before everyone else, you’ll have bigger profits than every other retail investor out there…

The Market Wants to Get Risky

When interest rates rise, money is more expensive to borrow. When rates are low, money is cheap and easy to access. In terms of risk, when money is easy to access and doesn’t come at a high cost to repay, that’s what big investors and institutions like to see.

When the Fed decided not to raise interest rates on June 19, the Dow Jones Industrial Average opened at 26,490.16. On July 8, it closed at 26,806.14.

That’s a 316 point gain in less than two weeks, and it shows that there is an increased appetite for risk.

People who are using CBD are noticing incredible results – and it’s causing the market to grow at warp speed. Learn more here.

With cannabis illegal under federal law, that still makes cannabis stocks technically risky. Of course, we know how the story ends. Cannabis is going to be legal in the United States, so staking a claim now is going to lead to the largest long-term profits.

I know it’s not fun sitting back and watching a stock price drop, but as long as our investment thesis is sound, you can’t throw in the towel. When things aren’t working out like they should, remember to be patient and utilize our “Amazon Investing Strategy.”

It works whenever you are confident in a company’s long-term prospects.

Below, you can see the AMZN stock price declining 60%. That’s a big enough loss to scare out all but the most dedicated believer. The stock climbed back to its initial price, and then it dropped again to 55%. That’s two big losses in just a few months.

But if you noticed the dates on this chart, you see where this is going. Here’s a longer-term chart.

People who knew that online shopping was going to revolutionize how consumers bought and sold things, and that Amazon would dominate that business, were richly rewarded.

That’s what we have with cannabis. For example, experts are predicting the hemp CBD market will grow more than 15 times faster than the overall cannabis market by the end of the year. It’s this sort of niche market, just like online shopping, that gives you fantastic gains. You just need to know which companies have the best shot at major gains

This should be a very good – if not great – summer for cannabis stocks, and the long-term prospects look even better.

Greg Miller

Executive Director, National Institute for Cannabis Investors

PS: Our experts have identified 42 cannabis companies set to go public before Labor Day. More importantly, they’ve done the hard work and narrowed down the top six opportunities that can put massive profit potential in your hands. Each has the potential to create $5 billion in new wealth within hours. And right now, you have two choices – either you can do nothing while these cannabis IPOs could hit gains of 1,000% or more… or you can take action now and claim your share of the potential $30 billion in new wealth. The choice is yours. All you have to do is click here to hear more about this one-of-a-kind opportunity.


Comments

14 responses to “Understanding How the Market Thinks Leads to Cannabis Investing Success”

  1. Hey Greg how are you? I know I am a pain but, I truly don’t mean to be. I know you get tired of addressing the same issue about tone. But thank you anyway for doing so quite often. It truly encourages me to stay the course because I believe in you even if I don’t see it. But I realize I am not the expert and you are that why I pay you for your knowledge!!!! Thank you for being patient with me and just know I am still all in!!!!! Listen what do you think about that new ETF that started trading on the NYSE yesterday? Do you think this is another step toward big money coming aboard? At either rate Greg thanks for everything and know that you are greatly appreciated!!!! I hope you have a great day and much success to all of us!!!

  2. I’m confident that stocks will go up. However, I joined NICIlyctics, with promises of $1000s in profit, to only be solicited to join IPO Insider with excessive profits, which I joined. Okay, now I’m $2500 in the hole so far. After joined, I continue to get solicited for another $2000 so that I can get more excessive profits. I have put $6500 into purchasing stocks. I am now down $3500, between the stocks going down and my investment in NICI. I cannot afford to invest more in NICI, being down so much already. I though joining the IPO Insider would give me more, but now you say I need to invest more to get even more exclusive news. STOP.

    • I enjoy reading all the analogies and commentary that Greg presents us . But I also feel that I am constantly being solicited to put more money into NICI so as to become a more profitable investor and having access to more complete information. It seems the majority of emails I get are asking for more money and to increase my subscription level. Because of this I have begun to search out information from some of the many other reputable sites available. I understand the need to increase revenue by pushing increase subscription access to generate revenue but enough is enough. This marketing strategy has started to make me question the integrity of the Institute. It doesn’t help that the cannabis stocks have suffered quite a few losses in the last 3 to 6 months while the Institute keeps asking for more money for better access to better opportunities and information. I am in this for the long-haul so short term losses I can handle but I also feel like the member Mary Orr previously stated a lot of the solicitation to existing members by NICI should stop .

  3. I read in one cannabis publication that ultimately natural cannabis will be replaced by synthetic cannabis and synthetic CBDoils as it is much easier to manufacture CBDoils to medical quality compared to the extraction and purification of CBDoils extracted from marijuana or hemp. What are your thoughts and experience of this?

  4. Question for Greg Miller,
    Greg, want to first thank you for what you are doing. My wife and I are thoroughly enjoying everything about NICI and are having fun investing, so far. My question is about Origin House and it’s continued fall in value. Origin House was one of the first stocks I purchased and since that time back in May 2019 is has dropped so much it is scaring me. In the model portfolio you say this is a buy at market, so I am wanting to buy more. I also check a website called MarketWatch as it provides me with a 2nd opinion so to speak. It says to Sell origin house. So as you are recommending this as a buy my 2nd opinion says I should sell. What is the real truth? Also, what happens to Origin House once the deal with Cresco is finalized.
    Thanks for everything

  5. Trying to stay positive but it’s getting harder by the day. Constantly being told how these cannabis investments will make you a “millionaire”, bombarded with emails on the latest “billion dollar opportunity”. My portfolio is down 40 percent from January ’18. Have been investing in these stocks since April of 17, some are up others down but overall haven’t made any significant money. Have to hold on and hope for better times. Curious on others thoughts?

  6. Thank you Greg for all your help and information. I’m staying positive and I’m all in on cannabis and for the long term. 2 to 5 years another Amazon.

  7. I too am very frustrated by the constant hype and selling of more products by NICI while recommendations are moving past the 50% loss point. I think Greg and company would win more loyalty (and possibly sell more products) if they spent more time re-assessing some of those short term losers and giving us a long term view of their outlooks. Face it – cannabis investment is a risky one in the short term, and you shouldn’t be in it unless you are prepared to lose on some stocks and hold investments for a 5-10 year horizon. It’s that way in any IPO investment and certainly in risky sectors. So I’m of two minds here: investors need to face the reality of the type of investment they are making and; NICI needs to give us long term assessments and quit hyping us to send them more money. Otherwise, they look like the “pick of shovel” play of making their money while we lose ours!

  8. Hello, I’m trying to hang in there. Down just about 50% if not more on some stocks. I cannot buy another advertisement as I am Tapped Out. Still waiting for that great summer however, everything dropped even more yesterday. But the advertisement for more cash from Nici investors keeps coming. I cannot buy anymore from you until I make some money. I cannot buy any more recommendations until I make some money. Sorry to say all this I like how I’m being treated and I like the information but so far hardly any of it is panning out.

  9. I am new to buying stock. What I am finding is that I am staying positive, I do believe there will be growth, how could there not be… I don’t have a lot of money, therein is the problem. I joined because initially it sounded as if this group was really going to try to help those who really needed the “win”. I am find g that each step has more steps and all involve a cost, more money to get the next bit of information. It is beginning to look as if “helpful advisors” are making more money on our need to keep moving as well as the stocks they know how to buy. Capitalism at its best! Of course I know knowledge is power and everyone wants to make profits but
    It is discouraging when you begin. I will stay the course, it’s fun and gains, even though it may not be a lot will be made. Hope this is not taken personally, it’s my excitement turning to frustration when reality focuses.
    Keep on, I believe that those of us that read, join what we can and take a few risk may come out ok.

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