What's going on hunging, i hope you're having a downright wonderful day. My name is matt, and this channel is all about stocks trading and investing. Now, if you've been paying attention to the cannabis sector, you know recently it went sky high and most recently it's been having a straight up pretty bad time in this video. Because of the recent blood in the water, we will be doing a technical breakdown of tilray, apha and sndl, where i'll map out the key price levels that might represent a solid dip buying opportunity before we hop into the chart.

So let me quickly explain: what's going on on more of a fundamental level, today alone, there were some pretty negative articles that dropped till race stocks loses steam as analysts a company not compelling as standalone business. We also saw this one tilray downgraded by two analysts on valuation concern. Tilray fell thursday after two analysts cut their rating on the diversified canadian marijuana company on valuation concerns, but just so you know there has been an overall amount of optimism increase in these marijuana based companies, because that a because of the democratic party like congress will join With president joe biden's administration to legalize cannabis at a federal level, obviously, if this were to happen, all these stocks would be massive beneficiaries, but this is what wall street is currently saying about. The companies piper sandler slash its ratings to neutral from overweight, but raise its price target to 26 dollars from 15 to reflect recent market movement, but they also said just to be sure, they're optimistic about tilray's proposed merger with aprea and they see improved profitability coming.

Meanwhile, another analyst benchmark cut its rating to hold from buy and more than doubled, its price target from 12. All the way up to 32. benchmark analysts also see an excessive valuation, though they also say that afria merger should enable a step up in profitability. So that's pretty good! So in the meantime we do see a downtrend in the stocks, but overall it does seem as if wall street is still a long-term bull on these cannabis plays.

Now, with all that, out of the way, let's hop into the charts till raid trades under the ticker t-l-r-y, it's currently trading it closed out the day at 27 and 10 cents, but in post-market trading, as i'm filming this it's at 26.70, thus far in 2021. It's still up a very, very respectable, 228 percent, so on the chart i have tillray's two-hour chart uh. We can see that in post-market trading back on february 10th, it did hit a high of 76.96, but after this run-up from the mid 20s to that, it's really really been selling off. Now these yellow levels are just technical levels of support and resistance.

When i say that when i say support it's just an area that the stock has bounced off of and when i say resistance, it's just an area that the stock has been rejected by in the world of strong stock trading. It's very important to map out these technical levels because they have support, loves to be support in the future. Resistance loves to be resistance in the future and also they can switch. A previous support can act as resistance and vice versa, and then, finally, on the bottom, we have the rsi.

Rsi is one of my favorite technical indicators and it stands for the relative strength index. All it does is map out bullish momentum against bearish momentum when it gets high, that's quite a bit of bullish momentum and when it gets low, that's quite a bit of bearish momentum. This is important because when it gets above 70, the rsi has values of 0 to 100, when it gets above 70, that's commonly considered to be over so overbought and when it gets below 30. That's considered to be oversold.

I wanted to bring this to your attention because, right now, at least on the two-hour time frame, tilray is getting pretty close to that oversold territory and i think it maps out well with these upcoming levels of support. Personally, um, i will be interested in picking up some tilray at the first level of support, which will come just below 24, and then we have another one around 20., basically from a technical perspective, there's a good theoretical chance of the stock bouncing at one of these Levels now keep in mind, that's in no way guaranteed, but it is a good way to optimize your risk to reward. Now with that being said, let's switch things up a little bit to apha the company that till ray is merging with um. Also, similarly, back on february 10th, it hit in high this one was at 32.25.

Since then, it has been selling off right now. Apha it closed out the day at just above 19 in post market, it's not below 19.. In 2021, though, it is also a very impressive 178. There are a lot a lot of similar similarities between tilray and aphria right now, it's also at a level of support below that.

We have another support at 1720 and from there we have another one at 15.65 uh with this one. I would i'm already invested in it, but i would love to lower my cost basis at one of these levels, specifically the one just below 16, because i think by then the rsi will very much be in the oversold territory. And i would like to play a reversion play back up to 19 22.50 and if i get lucky, maybe all the way back up into the 30s. I think overall, they are showing weakness on more of this micro scale.

But i think in the long term, tilray and apha will end up bouncing and don't forget in the second quarter of 2021. It is expected that these two companies will be merging and will be forming one of the largest marijuana companies on this planet. And finally, we have sndl, which is sundial growers. It closed the day out at 1.45, which means it was down 15.7 percent, thus far in 2021.

It is still up over 200. So i know these things have been falling recently but keep in mind on the year. All three of them are still doing pretty pretty well so in terms of sndl. After hitting this high at 4.86 cents, it has very much been selling off.

We do have an upcoming support at a dollar 33, but i'm far far more interested in the support from a dollar to a dollar. Eleven humans really really like trading off those key psychological levels and i think there's a good chance of it, bouncing even if momentarily at a dollar. But overall, my personal thesis on all these stocks are pretty much the same right now, there's quite a bit of bearishness. In them, i think they could keep selling off in the short term, but in the long term i do believe that they will be winners.

I would love to know your opinion on tilray, apha and sndl in a comment below and if you want to stay up to date with the moon, gang's live streams. Clips like this make sure you subscribe to the channel go over to that bell: icon, icon turn on your notifications and set it to always. So you don't miss any of the new stock market comment thanks for spending a portion of your day with me and remember best of luck in the markets. You.