The other day I mentioned that CURLF was starting to look like it might be ready to turn back up, so I figured I’d follow that up by posting a chart and walking through exactly what I’m seeing. Sometimes it’s easier to explain this stuff visually, and CURLF is a good example of how price and time can line up in a meaningful way.
Above is a daily chart of CURLF. The first thing that jumped out at me is how the stock has been behaving around the 200 day moving average. This level has acted as support in the past, and once again price has pulled back right into that zone and is holding. I don’t look at moving averages as magic lines, but when you see repeated reactions at the same level, you have to respect it. The market clearly knows where the 200 day is, and CURLF is no exception.
What makes this more interesting is the timing. We are now in the window for the 50 day cycle, which is due pretty much right here. I’ve talked about these cycles many times before, especially when it comes to cannabis stocks, and CURLF tends to respect them fairly well. When a cycle is due, I’m looking for signs of stabilization, loss of downside momentum, and ideally some form of higher low or tight price action. That’s exactly what we’re starting to see.
This is where price and time come together. On the price side, we have support at the 200 day moving average. On the time side, we have a 50 day cycle that is due now. When those two things align, it puts the stock on my radar. It doesn’t guarantee anything, but it does improve the odds that a low could be forming rather than a breakdown accelerating.
From here, it’s a matter of letting the market prove it. I want to see CURLF hold above the 200 day and start to push higher, ideally showing some relative strength versus the broader market. If that happens, this could turn into a solid swing setup. If not, then we move on. As always, we’ll see what happens in the days to come.
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