Hemp, Inc. (OTCMKTS:HEMP) Deflates Again

The new year has not been particularly favorable for the stock of Hemp, Inc. (OTCMKTS:HEMP). The stock hit its latest 52-week low in late April and bounced from that, to level out around $0.02 per share. On Monday it almost seemed that HEMP was primed for a proper ride up the charts. It turned out that it was just a single-day pop, most likely triggered by factors external to the company and its operations.

On Monday HEMP started slow out of the gates but soared near noon and hit a close 18% up by the bell. With no new PR on that day and no new filings, it makes sense to look for the trigger elsewhere. In this case, it seems HEMP piggy-backed on the green spike of another OTC pot stock.

Medical Marijuana, Inc. (OTCMKTS:MJNA) announced receiving government approval from Brazil for the import of MJNA‘s Real Scientific Hemp Oil as prescription medication. As it has happened many times in the past, when a single pot stock pulls ahead dramatically, a few more follow simply because they operate in a very general, nebulous cloud of sameness. The case with HEMP‘s Monday spike is more or less another instance of this.

Looking at intra-day movement, HEMP‘s share price took off at nearly the exact same time when MJNA started climbing aggressively. Naturally, when a double-digit spike happens on zero materially significant news or filings, a retrace is guaranteed.

HEMP put up a new PR of their own yesterday, after the closing bell. The company announced it will be a sponsor for the HempZone at the Holistic Living Expo in California over the coming weekend. The HempZone will be an ‘interactive area’ for businesses linked with hemp and cannabis.

It remains to be seen whether this news will manage to push HEMP back up the charts.