That Was a Fun Week

by JDH on December 8, 2018

At the start of October the DOW was just under 27,000, and on Friday it closed at 24,388.  Not quite a 10% drop, but whose counting; that’s something of a blood bath.

Alternate viewpoint: DOW is now back to where it was at the start of July, so we’ve had 5 months of no gain; not quite as scary when you put it in those terms, eh?

Pot Stocks

The Pot Stocks have had a rough time of it.  My favorite, TGOD.TO – The Green Organic Dutchman, touched $10, briefly, in mid-September, and touched $2.50 a few days ago.  That’s not pretty.

Alternate viewpoint: The December, 2016 financing was done at 50 cents.  The October 2017 financing was at $1.65.  It closed on Friday at $3.17, so compared to 50 cents, or $1.65, that’s pretty good.

Am I panicking?  No.  Those who participated in early stage financings are still looking good.  The market got way to far ahead of itself, and now it has over-corrected.  At these levels I’d be buying, not selling.  I plan to place some stink bids for later in the month, so that everyone who is selling for tax losses can be my source of cheap shares.

It is highly likely that the Feds in the USA will push this issue to the States, which means that marijuana will be legal almost everywhere in the States by the end of 2019.  That will cause a similar bump in prices that we saw in Canada, and that will be the time to take (big) profits.

The tobacco companies are starting to buy these stocks, and that will give them a great bump as well.

Of interest this week was Aphria, that got slammed by the short sellers. I didn’t own it, but I bought some for $5 on Wednesday, and sold them for $6.78 on Friday, so for two days of work, I’m happy.

I’ll be buying more of my prime holdings at a price slightly higher than the lows, on the assumption that the lows will hold.  We shall see.


It’s possible that gold’s 4 year slide is over, and 2019 will be a better year, but I’m not committing any funds to it, yet.  I’m not yet convinced.

As of today, those are my thoughts (which may be completely different tomorrow).  More next week.