After having gone through a fairly terrible time in the past months, cannabis related stocks seems to have come back into focus among investors and one of the stocks to track could be that of Sundial Growers (NASDAQ:SNDL).
Trading Data
On Friday, SNDL stock jumped 9% to $0.8121 with more than 672.35 million shares traded, compared to its average Friday of 89.18 million shares. The stock moved within a range of $0.7117 – 0.8680 after opening trading at $0.8659.
Major Trigger
The stock has been in the middle of a strong rally in recent days and it continued on Friday as it ended the day with gains of 9%. That took the gains made by the stock over the course of the past week to as much as 51%. In light of such gains, it may be the right time for investors to consider taking a closer look at it.
Although it is true that there is a certain degree of optimism about legalisation of cannabis there are many other factors that have created a certain bullish momentum about the stock.
That being said, the possibility of legalisation in the United States remains the most important trigger for positivity among investors at this point in time. However, investors also need to keep in mind that the road ahead may be tough for companies like Sundial Growers. It may be a good move to keep the stock in your watch lists.
Technical Data
SNDL stock is trading above the 20-Day and 50-Day Moving averages of $0.57 and $0.53 respectively. Moreover, the stock is trading above the 200-Day moving average of $0.68.
