Top Cannabis Penny Stocks In 2021
Right now, in August top marijuana stocks to buy are showing their traditional volatility in the market. Although most leading cannabis companies are reporting phenomenal earnings right now the market is not trending upward as these financials are reported. Instead, some of the leading cannabis stocks are still declining in the market after dropping very strong revenue growth. For the most part pot stocks have behaved in this manner so far this year.
In general, the only event that has had a positive impact on top marijuana stocks is US cannabis legalization. Since the November election of President, Biden investors began to feel that a Democratic-led Congress and a Democratic president in the White House would establish some form of federal cannabis reform. Unfortunately, almost 1 year later nothing has been passed in Congress to end federal cannabis prohibition.
This has taken its toll on investors and currently, top marijuana stocks are trading near their lowest values in 2021. One area that’s seen significant gains in 2021 is marijuana penny stocks. For those not familiar with penny stocks these are any equities trading under the $5 stock price. In the first quarter of 2021 top cannabis penny stocks saw significant gains until February 10th. After this, the cannabis sector has seen substantial declines that have persisted for over five months.
Understanding Penny Stocks And Pot Stocks In August
Before investing in penny pot stocks there are a few important factors to consider about the sector. For one the best marijuana penny stocks to invest in are known for displaying significant market volatility. In other words, cannabis penny stocks are a high-risk high reward area of the market.
Because of this more investors prefer to trade cannabis penny stocks using short-term methods. For investors, it’s important to do your due diligence