Fortunes may be made in legal cannabis over the coming years. As a result, bullish sentiment is building on cannabis stocks both for recreational and medicinal uses.
Adding to the bullish sentiment is the first-ever cannabis-based medicine to get a favorable recommendation from an advisory panel to the U.S. Food and Drug Administration. This is a big win for cannabis.
The drug, a syrup called Epidiolex, is from GW Pharmaceuticals GWPH, -0.80% to treat childhood epilepsy. The medicine doesn’t have any psychoactive effects.
Let’s explore this Cambridge, England-based company with a chart, the fundamentals and then I’ll review other cannabis stocks. GW Pharmaceuticals, founded by two doctors, trades on the Nasdaq Stock Market in the U.S. GWPH, -0.80%
Please click here for the annotated chart of GW Pharmaceuticals stock. Please note the following from the chart:
• The stock recently moved up in anticipation of a favorable recommendation by the FDA panel.
• The stock price is now in the resistance zone shown on the chart.
• The move is on heavy volume.
• The relative strength index (RSI)