Cannabix Technologies
Cannabis

Cannabix Technologies Inc (CNSX:BLO) Headed To The Moon After Cannabis Breathalyzer Breakthrough

Cannabix Technologies Inc (CNSX:BLO) is showing signs of trading higher after a period of consolidation that saw the stock lose more than 50% in market value. The stock’s sentiments in the market have received a boost on the company providing interesting news about its cannabis breathalyzer under development.

Price Action

The recent bear run in the stock cannot in any way be attributed to deteriorating performance. The broader industry has been under immense pressure since the start of the year. Fast forward sentiments in the sector have changed in the wake of Canada legalizing recreational use of Marijuana.

BLOZF Daily Chart

Shares of the company have been consolidating above the 200-day simple moving average affirming suggestions that the long-term uptrend is still in play. The recent surge in trading volume of Cannabix Technologies is down to investors taking note of the company’s growth prospects backed by a unique product.

The stock needs to rise and stabilize above the $2 a share level, to affirm the emerging bull trend, if it is to have any chance of rallying to 52 week’s high of $2.8. Cannabix Technologies faces immediate support at the $1.20 level, below which it remains susceptible to further declines. Below the critical support level, the stock could drop to the $ $0.80 mark, seen as the next support level.

Before we look at the catalysts likely to affect the stock’s direction of trade going forward let’s look at what the company does in pursuit of growth and shareholder value.

Cannabix Technologies casts itself as a leader in marijuana breathalyzer development. The company boasts of an established line of breath testing technologies designed to enhance the detection of marijuana-impaired driving offenses. Its devices are commonly used by law enforcement agencies as well as in workplaces.

The company is currently working on devices that will be used to detect a THC-psychoactive component of marijuana that causes intoxication using breath samples.

Recent development

Renewed investor interest in Cannabix Technologies follows the announcement of positive test results on a new breathalyzer. The breathalyzer successfully identified two metabolites of THC. In addition, developers have made significant progress in the use of lower flow rate, crucial for use in groups of people with poor lung function.

The Breathalyzer uses cutting-edge spectrometry technology to provide sensitivity and accuracy, necessary for overcoming technical issues that have stifled detection of THC in blood with other techniques.

Ability to detect THC and its metabolites is a significant breakthrough that allows for the identification of marijuana users that tend to retain THC in their body for more extended periods. The development is big news, because of the legalization drive in Canada and the U.S is set to trigger strong demand for cannabis breathalyzer for use for law enforcement.

Cannabix Technologies is hoping to be at the forefront in addressing the issue of drugged driving that could come into being as people indulge in recreational marijuana use. The device will also be of great use in workplaces, in the testing of employees for THC intoxication.

“ As the issue of drugged driving becomes increasingly acute, Cannabix is committed to using its technology, R&D, and scientific experience to provide effective tools to aid law enforcement and help governments and the public transition to marijuana legalization in various jurisdictions,” said CEO, Rav Mlait.

Cannabis Technologies Big Opportunity

Cannabix Technologies is on the cusp of something big with the development of a portable breathalyzer for THC, capable of overcoming some of the challenges associated with blood and saliva tests. The company has already shown it has the potential to solve the cannabis testing conundrum on roads and in workplaces, in a more efficient way.

That said, the company should be able to generate significant returns once it refines its cannabis breathalyzer and unveils it for sale. Signing deals with law enforcement agencies in the both, the U.S and Canada should go a long way in according the company a reliable stream of revenue while enjoying a fast mover market advantage.

Conclusion

The stock climbing high in recent weeks does not come as a surprise as it attests what is at stake, on Cannabix Technologies achieving a significant milestone in the detection of THC. The company has every reason to succeed as it moves to target a niche market while solving an issue that presents a unique sales opportunities.

That said, the stock should continue to spike higher as confidence in the broader cannabis industry continues to creep in. The company is headed in the right direction guided by a right strategic plan. For early birds, Cannabix Technologies is a stock that could be headed to the moon backed by a product that is set to play a vital role in a fast-growing multi-billion cannabis industry.

We will be updating our subscribers as soon as we know more. For the latest updates on BLO, sign up below!

Disclosure: We have no position in BLO and have not been compensated for this article.

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Cannabix Technologies Inc (CNSX:BLO) Headed To The Moon After Cannabis Breathalyzer Breakthrough
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