National Access Cannabis Stock Continues to Appreciate

NAC Stock

NAC Stock: Leaving Its Peers Behind

Turmoil is currently gripping the stock market, and a correction is playing out. Corrections never feel good for investors caught in a trade, but I will say it again: corrections are to be embraced rather than feared. In the context of a bull market, corrections are necessary to restore health to a bullish trend and prevent it from overheating.

Speaking of which, most marijuana stocks are in a painful correction right now. I am focusing on National Access Cannabis Corp (OTCMKTS:NACNF, CVE:NAC) stock because it has done an incredible job of bucking the trend, and it is only moments away from forging a new all-time high. Given the magnitude of the correction that the marijuana sector has just endured, National Access Cannabis stock’s inability to correct is a testament to its inherent bullish strength.

I originally highlighted NAC stock on January 23 because it had completed a technical price pattern that was suggesting that higher stock prices were on the horizon. This pattern continues to govern the price action in the stock.

This pattern is part of a wave structure highlighted on the following National Access Cannabis stock chart.


NAC Stock price chart

Chart courtesy of

This NAC stock chart illustrates a bullish trend that was created using constructive price action.

Constructive price action consists of an alternating wave structure containing impulse waves and consolidation waves.

The waves highlighted in green are the impulse waves, and these waves are advancing in nature. They capture the period in a bullish trend when a stock stages a sustained move toward higher prices.

The waves highlighted in purple are the consolidation waves, and these waves are corrective in nature. They capture the period in a bullish trend when the stock price corrects and refrains from advancing. Consolidation waves are very important because they maintain the sustainability of a trend by unwinding overbought conditions, which creates the environment necessary for an advancing impulse to follow.

The completion of the consolidation wave was the focus of my previous report on National Access Cannabis stock, and it implied that a new advancing impulse wave was set to follow. Since that report was published, NAC stock has appreciated by 43.04% and it is on the brink of forging a new high, reinforcing the notion that an impulse wave is still in development.


NAC Stock chart

Chart courtesy of

The indicator highlighted on the above NAC stock chart is the moving average convergence/divergence (MACD) indicator.

MACD is an effective momentum indicator that simply distinguishes whether bullish or bearish momentum is influencing the price action in a stock. This is, of course, very significant information because a stock cannot sustain a move toward higher prices without the applicable bullish momentum supporting it.

The National Access Cannabis stock chart illustrates that the entire move toward higher stock prices has been supported by a bullish MACD cross. As long as the indicator remains in bullish alignment, it supports the notion of higher NAC stock prices.

Analyst Take 

I am bullish on National Access Cannabis stock because the price action on the NAC stock chart continues to support the notion of higher prices. Therefore, I will continue to maintain my bullish view until there are indications suggesting that another view is warranted.