These Signals Will Trigger the Next Move in TGIFF Stock

tgiff stock analysis

A Directional Move for TGIFF Stock Is on the Horizon

Marijuana stocks continue to be a very popular subject among retail investors. Look no further than the Internet and you’ll find chat boards littered with investors praising the companies that are destined to operate in the legal marijuana sector.

The problem with this scenario is that this group of retail investors, on average, has a dismal track record. Their poor track record is because this group of investors has a tendency to chase performance and pile into sectors at the worst possible moments.

That’s not to say a bull market is not still developing in the cannabis sector. It’s just that marijuana stock prices have run up a considerable amount over the last year and that, going forward, I believe that the stocks that move upward will be very selective.

I am now focusing on Friday Night Inc (OTCMKTS:TGIFF, CNSX:TGIF) stock because I believe that it is about to make a move. Whether that directional move is toward higher or lower prices remains to be seen.


However, one thing I am pretty confident about is that the sideways price action that has dominated TGIFF stock over the last five months cannot, and will not, last.

My beliefs are centered around the price pattern that has been created by this stagnant price action. The price pattern in question is highlighted on the following Friday Night stock chart.

Chart courtesy of

The technical price pattern highlighted on this TGIFF stock chart is a descending triangle.

Descending triangles are created when the price action is characterized by a sequence of lower highs that are accompanied by a static low. Connecting the peaks and troughs created by the price action produces two converging trend lines.

These trend lines are very important because they capture the price pattern and pinpoint where price resistance and price support reside. This is relevant information, because the next directional move will depend on whether the stock breaks above resistance or below support.

That anticipated directional move is expected to be a powerful one. The reason is that, by their nature, triangle price patterns produce such outcomes. This power is created by the pattern’s ability to build and store energy as it develops. This stored-up energy is only released once the stock exits the pattern.

As I said earlier, I have the inclination to believe that such an event is on the horizon. This belief is based around the notion that, on average, triangle price patterns are resolved when they reach 70% completion.

The ascending triangle on the Friday Night stock chart is approaching that marker, suggesting that a breakout of this pattern should be anticipated.

Since most of us are inclined to see TGIFF stock resolve this pattern in a bullish fashion, I will outline the signal that will need to accompany a bullish breakout in order to suggest that a sustained move toward higher prices is in development.

The indicator that produces the necessary signal is highlighted on the following chart.

Chart courtesy of

This signal that I seek in order to confirm that a move toward higher prices is developing will come from the moving average convergence/divergence (MACD) indicator, which is located in the lower panel of the above chart.

MACD is a trend-following momentum indicator that uses the crossing of a signal line to distinguish whether bullish or bearish momentum is influencing the price action in a stock. A stock cannot sustain a move in either direction without the applicable momentum supporting it.

A bullish MACD signal implies that a stock is likely to advance, while a bearish MACD signal implies that a stock is likely to correct.

Look no further than the Friday Night stock chart to see this dynamic in action.

Its impressive track record of confirming whether a stock price is going to sustain a move toward higher or lower prices is why this signal must accompany a bullish resolution of the descending triangle. It will confirm that a sustained move toward higher TGIFF stock prices is being developed.

The MACD indicator is currently in bearish alignment. Therefore, the path of least resistance is still toward lower prices. Until this dynamic changes, a bullish view is not warranted, but patience is.

Analyst Take

I am watching two indicators on the Friday Night stock chart: the descending triangle and the MACD. Only when both of these indicators generate a bullish signal will I believe that a sustained move toward higher TGIFF stock prices is in development.