Medical Marijuana, Inc. (OTCMKTS:MJNA) Finally Bounces

Medical Marijuana, Inc. (OTCMKTS:MJNA) managed to halt its descent, and even recover some ground in yesterday’s trading session – but is it just a dead cat bounce?

As the old saying about the stock market goes – even a dead cat can bounce, if thrown from high enough. And, judging by MJNA‘s charts, it certainly fell from high enough to warrant a bounce – although, at $64 million, its market cap still seems ridiculously high.

Yesterday’s 10.66% recovery looks like it was made possible by the announcement that Kannaway, LLC, MJNA‘s incomplete acquisition, received a “Start-Up of the Year Award” from the Academy of Multi-Level Marketing (TAMM). And while it is not surprising that this news caught the investors’ attention, MJNA‘s supporters and opportunistic traders alike would do well to tread lightly with regard to the company’s stock in the following days. Why?

Because the momentary respite that MJNA experienced yesterday looks very likely to end up being just that – an all too brief green run interrupting an otherwise unstoppable descent. There is no reason to believe that the tides will turn – after all, the company hasn’t resolved any of the issues that have been plaguing it for a long time. It hasn’t even reported its latest quarter, and is still market by a red “STOP” sign on its OTC Markets profile.

Long story short – MJNA had a green session, but that doesn’t mean that investors involved with the company can let their guard down.