Smart Cannabis Corp. (SCNA) is a classic penny stock. It moves sideways in the long run. This is often due to investors’ doubts about the long-term survival of the company. However, penny stocks can be extremely attractive, as good news can lead to massive fluctuations. However, traders should be aware that the swings can be both positive and negative.
The already mentioned range is also clearly visible at Smart Cannabis Corp. The price has been moving within the range for a long time. For the time being, range trades are an option here. Traders should prefer short trades at the upper limit and long trades at the lower limit. As soon as the range is broken sustainably, trend-trades could offer themselves as well. However, this is not the case in the current situation.
The recent share price performance is very interesting and offers a nice trading opportunity. The price has bounced off the lower limit for a long time. A long trade to upper limit can be entered with a cheap entry. Short-term traders should set the price target narrower because price setbacks can occur at the upper range limit. Slightly riskier traders can also speculate on a break in the range.
Looking at the price trend from the hourly chart, it becomes clear that the price has undergone a valid trend change in the short term. Day traders in particular will be able to find good entry points here and make quick profits.
All in all…
Smart Cannabis Corp. has been in a range for weeks. The probability is high that the price will remain within the range in the future. So range trades should be preferred. Especially in the hour chart find