Alrighty, what is going on moon gang? Let's do a quick analysis of some of our favorite cannabis stocks. Let's talk about tillaray, let's talk about apha and let's talk about sndl on the screen. Now this is the 30 minute chart of tillery, but first, let's go over some of the fundamental developments, because till ray tomorrow, wednesday february 17th, after the market closes, will have its earnings report. Basically, it's just going to be announcing how it did in the previous fiscal quarter.

So we want to know if it beat, expectations didn't beat expectations, and we want also want to know if there's any developments related on its merger with apha before we get into all that just so, you know, i am bullish on the cannabis sector and as i'm Filming this i do have um some call options on tilray. The strike price is forty dollars. I have three of those. The expiration date is late february, february 26th and as of now, i'm pretty much scratch on the trade but we'll see how it plays out and beyond that, i'm also invested in apha um.

Just today, i bought 50 new shares uh right now. Apha is trading at 21. I got in at 20, so i'm up about a dollar per share, which means i'm up um. The total return is um 63., so we'll see how that plays out moving forward.

But once again just so you know i am biased. I am bullish on the cannabis sector, so here is the news that just came out today on barons marijuana stock tilray raises ahead rises ahead of earnings uh, but an analyst prefers aphria canadian pot grower tilray reports. Fourth quarter results after the market closes on wednesday. The marijuana stock rocketed up and down last week amid heightened interest from retail traders on reddit.

We are expecting tilray to report a net loss of 14 cents per share for the last quarter, so if they can beat that, that would definitely be ebola shine and we're also expecting a sales of 56 million, which would be a 19 growth year over year. How till rate shares are trading compared with apha is also a key concern for investors. Those companies announced a merger uh in december of 2020 afria, ceo erwin simon, said in january that he expects the deal to close in the second quarter of 2021. So make sure you know when the merger is ideally supposed to close, but that's not fully ironed out yet under the announcement, the terms of the deal an investor would get about 0.84, a share of combined tilray for each share of afria that they own cantor fitzgerald.

Analyst pablo wrote in a note on tuesday that, as of last week's lows, afria stock traded at a 51 discount to the merger conversion price. This means that he actually thinks the best way to play. This merger is through apha and not tilray. His price target.

On till rate is 30 per share and um he has an overweight rating on apha, which he has a price target of 2561. Once again, he prefers playing the merger with aphria rather than tilray. Still he thinks that the larger, better managed canadian growers have some growth potential. In this sense, we continue to appreciate the strategic law logic and value of the merger of tilray and afria.

Just so you know so once again, it's not just me. There are some wall street analysts who are bullish on both of these companies and specifically their merger, speaking of which, just so you know a little bit about what's going on with their merger. Basically, we can say it's going to be a beefed up version of afria africa is going to hold about 63 of the merge entity. It's going to be called tilray and that's just mainly because tilray is a more recognized name.

There's more visibility with that company, but afria is the bigger company. The new tilray is going to be big according to them by the standard of 12 months trailing revenue. They will be the largest marijuana company in the world, which is a weird metric to use, but anyway they're going to be one of the biggest companies in the entire world, so uh not just the biggest canadian marijuana company, but the biggest marijuana company period. So if you are looking to play this sector as a whole and believe that there is a lot of upside potential, make sure you're paying attention to tilray.

And if you want more of exposure to the sector, and not just this, one company will really two companies that will become a word emerged. One company. I would recommend, checking out the cannabis etf mj um. Now, let's do a quick technical breakdown to see.

What's going on on, the screen is tilray's uh daily chart? Let's switch this over to their 30-minute, chart till rate trades under the ticker tl ry today it gained 19.4 and the stock is trading just below 35. Thus far, in 2021 alone, till ray is up in absolutely incredible: 321 percent on the screen. I i have these yellow lines which are just lines of support and resistance. When i say support it's just a price area that the stock has bounced off of.

When i say resistance, it's just a price level that the stock has been rejected by in the world of trading. It is exceedingly common for previous support to turn the resistance and vice versa. On the bottom, i also have one of my favorite technical indicators, which is the relative strength index, also better known as the rsi when it gets very high, that's a lot of bullish momentum and when it gets very low, that's a lot of bearish momentum. A lot of day traders and swing traders use this indicator as reversion play as in when it gets super high, as it did here around 70 to 77.

They look for it to sell off and then when it gets very low, as it did here around 28. The rsi was very low, they look for a bounce just so you know no technical indicators ever going to be perfect, but it is one tool that you can use to help maximize your own risk reward when trading. So what i wanted to bring to your attention here is: after hitting this post market high of 77 till ray, did sell off. It eventually found support between 28 and 30., so that level of support has now held over the past two days and it's important because previously it was resistance.

So this is a great example of previous resistance, turning right into support and that's what we're seeing now. So after bouncing off of this level on the um excitement heading into the earnings announcement tomorrow for tilray it did the stock itself had a good day. I mean it's up 19.4, as you can see it's having a tough time at 36., so if it can get above that, i think we have a wide open door to 44.. Of course, i will be concerned of that key psychological level of 40 so, where the stock closed today to get up to 40, that would be a nice uh additional 15 gain and then to get this next level of technical resistance.

We're looking at a very solid 20 gain just so you know the closest technical support will come about 34, which is where we're at now and below that we would be looking at 30, so just to be fair and more balanced. In my technical analysis, that would be a drop of 11.5 just so you have a better idea of what's going on going into the earnings announcements, you need to understand it's pretty much the flip of a coin. Either they will beat expectations or they won't and, of course, we'll most likely hear more about the merger with aphria, so it can go either way. Um.

It really is a flip of a coin, but for me personally, i believe that tilray afria sndl, like all these cannabis, plays, i think that they are solid, long-term plays for 2021 and most likely even longer. Now, let's switch things up to the other one that we're talking about apha, it's currently trading at 22., it gained 28. Today, both tilray and afria had an amazing day. Thus far in 2021, apha up is once again another incredible gain of 213.

I mean that's amazing for only being six weeks into the year, let's zoom out just so, you can see what's going on once again. This is the 30 minute chart. Aphas high recent high is at 32 similar to tilray it sold off. It found support at 14.

Since then it's been bouncing right now. It's battling it out at a resistance of 22, which is where it had issues back in early february. If it can get on the top side of that um, i think it would be cruising up to 24, which is where it was rejected on february 9th and then past that that kind of opens up the gates to 27. so similar to tilray.

Let's do this uh that first resistance, a nice 11 gain the next resistance, a nice 27 percent gain, and just so you know, the closest support will be just above 20, which, from the current close, would be a drop of 5.8, so really apha's risk reward ratio At least in my own humble opinion is a very, very nice one uh heading into tomorrow. I specifically think that there'll be a high amount of volatility in both tilray and apha. So it's worthwhile to put onto your watch list respect your levels of risk and look for those levels of reward um. Once again, i am invested in apha and i have call options on tilray, so i'm very bullish on both of these, but one that i don't have a position in, but there's a lot of interest in is sndl, better known as sundial growers.

It's currently trading at two dollars and 20 cents today today did manage to gain 5.3 percent thus far in 2021, it is up 362, so all of these stocks are absolutely killing it, but just so you know um after hitting this pre-market high of 4.86 sndl sold Off and then uh friday, and then today it's just really not doing much. So i'm looking for a breakout above 230 or a breakdown below the region of support from 175 to 2 um, as things are currently um really showing themselves. The big movement is until ray and apha that doesn't mean i dislike sndl. It's just not moving that much um, but, as things continue to develop, i'm more than happy to do more technical analysis and, of course, after tilray's earnings announcement comes out tomorrow, wednesday, the 17th.

After the market closes i'll, make sure to post a video updating you on that, letting you know how the company did and if we have any updates on the merger with apha. If you're interested in this type of stock stock market content make sure to join up with the moon game by hitting the subscribe button and turning on your notifications and as always best of luck in the markets, you.