VFF Pullback Looks Like a Normal Pause in a Strong Uptrend

 Above is a weekly chart of VFF, and in the lower pane you’ll see a ratio line of VFF versus MSOS. When I’m analyzing pullbacks, I always like to study the character of prior pullbacks within the same trend. Markets tend to repeat behaviors, and understanding that rhythm can help frame expectations for when a pullback may be nearing its end.

Since the April 2025 low, where VFF clearly bottomed, we’ve seen three meaningful pullbacks. One of them was very short-lived, lasting only a single week. The other two however lasted exactly four weeks before the stock resumed its uptrend. That’s important, because that is precisely what we are seeing now. VFF made a high and then sold off for four consecutive weeks, mirroring the structure of those prior corrections almost perfectly. In strong trends, pullbacks often come in measured, controlled waves rather than sharp, chaotic selloffs.

What I really like about this current pullback is how clean it looks. The stock has been forming consecutive lower highs, which tells me this is orderly profit-taking rather than aggressive distribution. There’s no panic here, just digestion of the prior move. This is typically what you want to see if a stock is going to push higher again.

Looking at the ratio line in the lower pane adds another layer of confidence. VFF has been in a clear uptrend relative to MSOS since October of 2024. That tells me VFF has been outperforming the broader cannabis space for several months now. Relative strength like that usually doesn’t disappear overnight, especially when price action remains constructive.

From a seasonal perspective, cannabis stocks also tend to perform well during January and February, so we still have that tailwind in play. On top of that, Pam Bondi finalizing rescheduling remains a potential catalyst that could inject fresh momentum into the group.

I’ve been long VFF since last summer and I’m not looking to sell into this pullback. Instead, my plan is to add above last week’s high at 3.65, which would signal a potential resumption of the uptrend. That’s how I’m viewing this setup. What do you guys think?

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