Newsletter

Good Afternoon Fellow Traders,

Last time I profiled a company like CWNM we had a day of 40% on XCHC and a lot more on MJNA back in February. No doubt you read the news and know how legislation is increasingly friendly towards this industry. If gold plays were the most sought after ones out there a few years ago, Medical Mari juana is certainly one of the belle of the ball right now.

CWNM is not entirely new in the industry however. CWNM already holds patents for its pharmaceuticals products in severaal countries, namely South Africa and Mexico.

CWNM provides a patented solution for Controlled D rug Delivery (CDDT). CWNM’s patented and scientifically proven technology aims not only to improve the safety and pharmacokinetics of controlled-release medication, but also to streamline the manufacturing process for existing facilities without significant upgrades.

I will be sending you another report later tonight regarding with this segment of CWNM’s business is key and why it is worth your time to conduct further research into.

CWNM’s expertise in CDDT is part of what has pushed the company towards the medical Mari juana industry. The company just issued a release about its new venture.

Here is a piece of the news release:

“The Company's objectives will be two fold. Firstly, it hopes to provide ancillary services such as financing and support to companies in the industry of medical mari juana, an industry which remains largely shunned by main stream business support professionals. These possibilities are being evaluated on a case-by-case basis.

Secondly, JVS intends to employ most or all of the remaining monetary flow generated from support services to research the benefits of Crown's novel patented controlled delivery device with respect to cannabinoids and more specifically to Cannabidiol, or CBDs.”

http://finance.yahoo.com/q/h?s=CWNM+Headlines

 
In April, the company also announced their nutraceuticals division will be beginning sales of it new product line within the following thirty days. The Global Nutraceuticals Product market is massive -- reaching over 142.1B in 2011 and is expected to reach 204.8B by 2017.

CWNM is involved in several keys industries: Medical Mari juana, Nutraceuticals as well as Pharmaceuticals (and holding a patented technology).

I also want you to take a look at the technical side of this chart. The news that just came out today is already starting to have an effect on the chart. As you could see today, there is a potential uptrend starting. The volume however tells me there are few that have yet caught on with this story.

The take-away from the chart is the following:

1-   We’ve got a double bottom on the support at 0.04

2-   Bullish Engulfing, with today’s action (check today’s candlestick) clearly breaking past the entire previous week.

3-   Throughout the double bottom, the RSI crossed the 50 line into bullish zone (a positive signal for this trade).

4-   So the stop loss on this one should be no lower than today’s low to let it run a bit considering we are seeing support (double bottom in the 0.04 range)

5-   Mind the gap-up as always and re-read my gap-up rules to trade correctly at the open.

6-   This one is also a low float so volatility is inherent, therefore be quick about the trade.

I will be following up with a second email containing more details about CWNM and the industry.

Until then, I invite you to start your research into CWNM.

If you have any questions, ask away.

Sincerely,

Alexander.