Growlife Inc. (OTCBB:PHOT) Looses Momentum

There is still quite a lot of hype surrounding the medical marijuana business and Growlife Inc. (OTCBB:PHOT) is making the best of it. The general direction of the stock has been up in the recent months, but it just started to move at a faster pace with the start of 2014 and the first legal sale of recreational marijuana in Colorado.

The overall gain since the beginning of the year now amounts to around 55% and the volumes in which PHOT‘s stock is traded are at an all time high. People everywhere are talking about companies in the sector which is definately helping them keep up the hype surrounding their stock.

The companies themselves don’t even need to post that much optimistic press releases and it seems that even though Medical Marijuana Inc. (OTCMKTS:MJNA), Cannabis Science Inc. (OTCMKTS:CBIS) and Hemp, Inc. (OTCMKTS:HEMP) took a tumble in Friday’s session they are back on track.

PHOT on the other hand was running strong through the first sessions of 2014, but was stopped in its tracks yesterday, when the company stock registered the first red day for the year on a significant volume of traded stock.

The ticker gapped up and opened at $0.2449, but the massive amount of shares that were traded in the beginning pushed the price down and PHOT finished the day with a minimal loss of 0.81% at $0.2331. The amount of traded shares was similar to the one from Monday and came at some 54 million that generated a massive $12.7 million in dollar volume, which put the ticker in the lead of the medical marijuana pack once again.

Today’s session started rather promising and PHOT‘s stock is already 7.21% up at $0.2499 per share. It seems that the ticker is back on track and ready to continue its upward run, but how high can it really get.

That of course is for time to tell so the best you can do is to be sure to do a lot of due diligence and weigh out the risks if you are thinking of making an investment in the sector.