Medical Marijuana Inc (OTCMKTS:MJNA) closed in red territory on Monday’s trading session. The stock opened gap down with 1% drop and extended its losses to more than 3% at closing. The stock declined 3.73% to close at $0.0982. The decline came at a massive volume of 5.94million compared to its average volume of 2.73 million.
Medical Marijuana failed to reverse its losses despite the big news that hit marijuana industry last week. A new revolutionary marijuana bill, termed as ‘CARERS ACT’ was introduced ahead of Congress. The innovative bill had bipartisan support from three key senators who planned it and presented it. After the news, most of the companies in the segment posted healthy gains.
The CARERS Act presented last week intends to wipe out medical pot from the list of ‘Schedule I’ drugs on a federal level. It wants to bring pot-derived medication for the terminally ill people. The idea is to make it available irrespective of patient’s state of residence. It demands a considerable modification in the federal policy stance on pot medication. With bipartisan support, it seems to be a standard in the U.S. history. The key announcement fetched the attention of entire marijuana stock industry. Almost every other OTC based pot ticker that is traded in massive volumes ended in the green zone after the news. Unfortunately, Medical Marijuana failed to become a part of the rally.
The poor performance
Medical Marijuana’s share prices are witnessing bear run in 2015 as a whole. The company’s stock started the year with strong gains but then erased away all gains in next few trading sessions. MJNA proceeded to plunge below its pre-spike levels. The stock prices have been hovering close to $0.11 from last one month. The company is a disappointment in the marijuana pack as, despite the big announcements, it is still trading close to its 52-week lows.