What is happening investors? It is your boy, jack oy, oh man, you guys need to check out his channel we'll get into that a little bit here. We're getting that little bit here. What is up, everybody welcome to trace trades. We have technical analysis and different stocks in the stock market, as well as potential buy, hold or sell opinions on these.

Given stocks, like the purpose by saying that i'm not a financial advisor nor expert so take what i say with a grain of salt. Let's get into the video today my friends we're gon na, be giving you guys an update on ticker symbol, hcmc up here in the top left right of you guys, man, i've been talking about this stock for a while. I am so pumped that this has been. This has been playing out.

Well, i know: there's some people out there have been turning filthy profits on the stock and i really think this is an opportunity, a very, very rare opportunity where you might be leaving some some briefcases on the table if you collect the bag with the stock. In fact, i think i'm more bullish on this now, but i've done some more research on the potential for growth with this company and i think there's some good things to talk about here. So we'll look at the fundamentals of the company. What is the why? Why should you care, where is the potential for growth beyond what we're going to be talking about, which is the lawsuit against philip morris right? We're gon na give you guys an update on that some realistic expectations as to what we can expect.

Some recent news talking about this, this uh this whole, you know debacle going on in the whole nine yards and then the meat and potatoes, which is the chart set up so we're gon na look at the the one month chart as well as the one day. One minute chart to give both a macroscopic and microscopic perspective of the price action. I've got a couple. Different indicators pulled up here, the rsi, which is a relative strength index anything over 70's overbought.

Anything under 30 is oversold. Then i have the 200 ema and the 15 day m8. This is uh. This purple trend line is a 200 ema.

This is the exponential moving average. This is a price action based valuation trend line over a 200 day moving period, which gives us a macroscopic perspective of the overall price action, and then we have the 15 day ma, which is a moving average. Some brokerage accounts call this the sma, the simple moving average. They are one in the same, this is a price action based valuation trend line over a 15 day moving period, which gives us a microscopic perspective of the overall price action.

We use these side by side that we can get an idea of you know microscopic breakouts or breakdowns compared to the overall macroscopic price action with the 200 ema. So we'll look at that. We're looking at some potential entry points, bullish and bearish patterns that we're seeing form here on the charts right, so we can get you guys. The best possible entry points and exit points, strategies the whole nine yards with this company.

So, let's get into the video we've got quite a bit to talk about, so what do they do? What is the why? Why does this matter? Where is the potential for growth down the road, so healthier choices, management, corporation, formerly vapor, vapor corp - is a holding company. The company is focused on managing healthy food markets and providing consumers with healthy, daily choices, with respect to nutrition and other lifestyle. Alternatives kind of ironic, because what we're going to be talking about is their their tobacco products but anyways. The company segments include us-based retailer, vaporizers and e-liquids and the natural organic grocery operations in fort myers florida.

The company sells direct to consumer through the company owned brick and mortar retail locations. The company operates under the vape store and otta's natural and organic brands. We check out their website here, really quick. I will uh.

I will i keep forgetting that the links aren't working but we'll pull up hcmc's uh website and just take a quick peek at what these guys do. So give me one second here: okay, so we take a quick peek of what these guys do: hcmc healthier choices, management corporation, as i've mentioned they have this healthy foods option right. That is one sector of the company, and then we have the tobacco, the smokeless tobacco products that they do offer as well. Videos some patents regarding you know the smokeless tobacco products, which we will be getting into here, uh shortly, but uh.

Basically, that's what we're looking at we've got this company overview right. Htmc is a us-based publicly traded company specializing in providing consumers with healthier alternatives to everyday lifestyle choices. This is an otc market stock, so you will not be able to trade this on weeble. You will have to use a brokerage account that does allow you to trade in the otc market.

I know fidelity does allow you to do that. Schwab also allows you to do that. So keep that in the back of your mind here, but they also own an intellectual property suite comprised of patents issued in both the united states and canada. These patents have a primary focus on safer vaping technology, as well as synthetic or imitation nicotine compositions processes and methods of manufacture.

Hcmc continues to innovate and hopes to expand the suite in the future and if you guys have been able to keep up with this, this uh this this stream, i shouldn't say stream. This playlist right. The series uh you'd know that there is a huge lawsuit. That is in the making against this stock and that is against philip morris.

So let's just check this out. This was posted on january 27th, so a little bit old, but the premise is still the same: healthier choices, management, news, hcmc, stock, skyrockets amid lawsuit speculation. So what we're seeing happen here is there is a lawsuit going against philip morris international right for patent infringement against two of their patent rights on a smokeless tobacco product. The lawsuit was originally filed back in november 2020, it's been picking up steam right because of reddit reddit threads on penny stocks and the investors are taking some pretty heavy interest and we're just going to read this from a different uh news source that i do.

It pulled up here: hcmc's lawsuit includes claims that philip morris is infringing hcmc's patent rights in connection with their iq os product and alternative tobacco product marketed and sold by philip morris phillimores claims that it is currently approaching 14 million users of its iqos product and has Reportedly invested over 3 billion in its smokeless tobacco products, phillip morris has been very open about their ongoing transition from traditional, fully combustible cigarettes to their modified risk. Tobacco products, including iqos, if you guys want to keep up with another channel that has great information regarding the hcmc situation, jack spencer, is a fantastic channel. I would recommend watching him. In fact, i keep up with him in his videos here on a pretty regular basis.

I don't know why i'm not subscribed, but we're gon na fix that here right now turn on that notification bill, you got to do that and take care of your people, but this guy is an absolute powerhouse. You need to check out his videos. He has a great great great channel so with that being said, there's a lot of potential here and the numbers that catch my eye is this three billion dollars that they have invested in their smokeless tobacco products. So do keep that in the back of your mind with this situation right, that's a lot of money.

Now, i'm not necessarily saying that this lawsuit you're gon na see you know that three billion dollars come over to hcmc because um, that's not necessarily, you know justifiable. I don't have a great background in law and patent infringements right. I don't think most investors do, but what we can say is that both of these companies are gon na want to seamlessly end this right, philip morris, it's in their best interest to avoid this lawsuit. As best as they possibly can and do whatever they can to make this a very uh non-hostile situation, so they're going to try and make this this this a situation where they can pay them off and get out of this as smoke-free as possible.

I don't know if that's necessarily going to be the case, but what i do think is very possible. Is this i want to guess i want to set you guys, realistic expectations. I do think it's possible that you see this february 26th, which is the date they are expected to act upon this patent infringement right the lawsuit date february 26th. I would not be surprised to see this be pushed to the right, meaning that it is going to be pushed out further if this does end up happening.

My friends, you're gon na see a pullback on hcmc. It's gon na pull back hard and i don't want you guys to freak out if you do have a position in this stock, because the situation still stays the same. In that instance, you can view it as maybe a direct offering. Of course, the premise is different, but what it does is the same right.

It pulls the stock price back right. It gives you an opportunity to buy in for cheaper. You should be rubbing your hands together like this. Oh baby, i'm gon na be able to buy this on sale because everybody's panic selling right now and people when that is happening.

My friends, my family, my gorilla gang right. That is an opportunity for you to scoop this up. So if you do see that this february 26 date for this lawsuit, this patent infringement is pushed to the right. That is an opportunity if you get into this, with a lot less risk and for much much cheaper.

So do keep that in the back of your mind, i also have been seeing some talks about uh possible: reverse splits on the stock. Why would that? Why would that happen right? So i've got hcmc pulled up here on yahoo. We can see that their market cap is actually pretty high for a overall otc market stock trading at less than a penny. Their market cap is 446 million dollars, which is extremely extremely high.

Now, if we just do a little bit of quick math here, i'm not good at math. I know that i don't have to top my head, but if we just do a little bit of math and divide 446 million by .0043, that means that uh we have 103 hundred thousand million, so we have 103 billion total outstanding shares. From my understanding i could be wrong. I er on the side of caution and i always say that i'm not a financial, advisor or expert, but that is what i come up with for quick math.

So there's a lot of shares out here in regards to availability to hcmc 103 billion, is what i come up with as a number right. So if this does end up happening, i do see talks about a reverse split. I don't think that's in the best interest of the company. I don't think they're gon na end up doing that.

What i see is more possible is a shared buyback right, so you may see the company and jack spencer actually does talk about this, which is why i'm doubling down on his convictions. I don't want to take credit for that in the least bit he's the one that brought this up first, but it is very relevant and if this does end up happening, it's very lucrative for shareholders right you're, going to get your shares bought out right, you'll receive Compensation for your shares, and that is going to put the company into a very solid financial position as well as set them up for future potential growth right. So that is a huge huge deal. They'll be able to buy back your shares, retire them right, set a more realistic overall outstanding shares composition compared to their overall market cap, because, in my opinion, it's a little bit high right compared to looking at a you know, almost a one billion half a billion Dollar market cap company - that is a very, very high amount of outstanding shares, so i could see that being the more realistic expectation you would see moving forward and honestly in order for them to reverse split into nasdaq compliance, which is honestly, i don't think in the Realm of expectations right now, uh it could be down the road, but nonetheless, i just don't see that being in the best interest of the company.

I do think that a shared buyback is more likely going to be the potential that they go down as a revenue of approach so or avenue approach. I should say so: that's what we're looking at here right now, uh. I do have something pulled up here on stock twist that i do find very interesting. All credit does go to i'm not gon na, say his name, but uh schlob may knob.

You know you get we're going with this, but i do want to read these off to you so number one earnings report tomorrow. Possibly this is a total rumor so far, based on previous year's timing for earnings report. If this does end up being the case, this could be both a positive and negative news catalyst it could go either way, so do keep that. In the back of your mind, this is not guaranteed to be a positive thing, but if it is a good earnings report that could help push as a catalyst to get more people investing into this stock february 26th.

Phillip morris must give an answer on settlement or suit will go to court in april right, so we are expecting that if they don't give an answer on the settlement, that is what we're hoping for here is a settlement uh. I think philip morris, i'm not sure exactly what the number is regarding what they're asking for the settlement, if you do know, drop it in the comment section down below, so that people can be most up to date as possible as the community works together to get So much more done than i can do by myself, but i do try my best, my friends um. If they don't answer that settlement that they will go to court in april. Regarding that patent infringement buyback, as i did just mention here, is rumored assuming settlement is announced.

This would be the best interest of the company. This is going to set them up for great potential long-term growth, which we'll get into here in a second future of hcmc. Making major moves with their newfound cash flows. Of course, the stock price has been drastically increasing, which has increased the overall market cap which the the owners of the company the management can take advantage of.

If we do come back down here, you can see right here. Hcmc announced a sale of five million dollars of preferred stock convertible. It's a common stock, initially at 150 premium, so they're already taking advantage of this they're trying to make as much cash flow as they possibly can out of this situation right and i do think they're going to be able to do that. It's going to help them really be able to rebrand restructure refinance, do whatever they need to do to make this a great long-term potential stock number five, all this possibly plus much more, because we don't know how the suit structure will come out.

I'm hoping a partnership with philip morris now. What is the potential here as a partnership with philip morris? How would that be possible? I don't necessarily think or or no this would be the case right, but if this happens, i think it would be because philip morris would try to offer money or some sort of acquisition deal where it doesn't necessarily blast their company, because no company wants to have A lawsuit on the record right and sec filings, because this is going to turn investors off of that company. It's going to really wipe away any sort of trust that philip moore's had from investors. People will pull out.

It's gon na really hurt their stock price. It's gon na hurt their market cap. They don't want that to happen. They want this to end as peacefully as they possibly can.

So, if you do see that happen right, you see a suit, a suit structure right in a partnership with phillip morris. That would be exponentially growing. This company hcmc would drastically benefit from this, and if we just look at pm really quick here and pull them up on a chart, philip morris look at their overall stock price they're trading at 86. So you get the point here.

You get the point here that would be huge, huge news for a company like this philip morris, i'm not sure what their overall market cap is we'll just take a quick peek, philip morris on yahoo. According to yahoo, their market cap is 134 billion dollars. So if they ended up striking a partnership, my friends that would be huge for the company that would really help their overall growth and one other last thing that i want to point out to you here on yahoo. Is the one year target estimate which is six dollars? Oh six dollars, my friends.

Could you imagine that? Could you imagine a six dollar swing from where we're at right now, which is less than a single penny? Oh, my god, take that with a grain of salt. That is just an estimate from yahoo, but nonetheless it is very, very interesting and if they do end up capitalizing on this, they win that lawsuit infringement. The patent infringement right, the lawsuit, there's gon na be huge, huge money to be made by investors right their overall financial situation. I'm not saying they're gon na be guaranteed all three billion dollars of this.

In of this lawsuit right, how much money they have invested? Philip morris, i should say in the in the iq os tobacco product system, but gross profit. In 2019, they saw 6.4 million dollars. That would be some massive massive growth. I anticipate 2020 and 2021 are gon na look a lot different than this right and we are maybe expecting based on rumors they're quarterly to be released very soon.

So that is what we're looking like right here. I do think there's some solid potential with growth for the company, especially with all this massive cash flow, they're gon na be able to really rebrand and restructure their overall system with the company right, i don't think a reverse split is very realistic. I think the buyback is much more realistic in regards to what you might see here with hcmc, of course, take that with a grain of salt. We cannot break the future.

If i could we'd be uh we'd be millionaires before you knew it, but nonetheless uh. That is how it's looking right, now very, very bullish on htmc, in fact more bullish than it was previously. So how about the charts? Looking right now? What have we been seeing here? So in my previous video, i said that there are two different ways that i can see this playing out either. Eight you're gon na see a hard push underneath this ascending level of support, right, which we did end up.

Seeing we saw a wide range candle bar break beneath this, and we bled off a little bit testing on testing out a new level of support on the rsi we're sitting at about 50 in comparison to you know previous points here it was a swing of about You know 30 points which is actually not a bad correction. That's not a bad correction in the least bit right and if we actually drop a fibonacci retracement, which is very easy to do. You put the base at the bottom of a run-up and the peak at the top of a run-up. We did not give back that much.

We gave back about 50, almost retraced perfectly to 50, which is a great great retracement. Anything above 50 in terms of retracement shows a lot of buyer strength right and if we look at the overall charts and the volume right, this is going to tell a very solid picture. We can see a lot of green von coming into this and maybe an equal amount of red volume. But i would say just a hair, more green volume, which to me indicates that this is more of an investor stock compared to a trader stock.

And that is because look at all this buying that happened back here. Look at all the buying that happened down here, right, you're, not seeing anywhere near as much red volume come out of this, as we've seen come into this, which to me indicates there's a lot of people holding which, which makes a lot of sense, because i mean, If you guys, if you buy it into this background, is trading at 0.0002, the risk for you is nothing the upside, for you is millions. You can make an insane amount of money if you bought into this at point: zero, zero, zero. Two and this hit one dollar you you wouldn't ever need to trade for the rest of your life.

If you buy in with like ten thousand dollars, i don't even wan na think about what the numbers are for that, but you guys get the picture here. There is huge potential with hcmc in that regard, so we did end up seeing the the latter possibility right. We did end up breaking beneath this ascending level of support bottom down to that 50 retracement at 0.0040, which i think is actually a very safe entry point into the stock. We've got the 15-day ma trading vast grad, vastly above the 200 ema, which is a very bullish indicator.

We saw the crossover way back here. Volume is starting to become very consistent, very predictable right, so i feel very comfortable actually with the buy-in right now that .0040 uh price target on the stock. I think, if you're buying right there, you hold this for a month, or at least until that february 26 settlement date. Unless it gets pushed right, they end up bringing it to court, which would then push the date to april.

That is just going to hype up and really drive the anticipation and movement of this price action here down the road in the future for hcmc. So i'm just going to reiterate this a buying at .0040 level of support. We do see three touch points. One two three, four, five, six seven uh signifying this is a respected level of support.

I think it's going to treat you very very well now we don't currently have any ascending levels of support or resistance. Besides this one right here right, we've got this. This very macroscopic scale ascending level of support, so if we did end up pulling back beyond this level of support - which we do have many many many more that are going to be held up before we even come close to this - we've got .0038. We've got right here at about point: zero, zero, three, zero right, there's a long time before we ever come close to testing out this ascending level of support, but we do have that, if need be, otherwise, as it sits right now.

This .0040 is a very strong level of support if you buy into this, and it ends up pulling back just a little bit. I anticipate within one week you're going to be up way way more than you were down. I would not, i would not consider selling until at least that february 26 settlement date and i think you're gon na be sitting very good on hcmc. I can't really look at this on the one day one minute chart, because this is not going to show us very much data i'll pull it up just to show you, but it's it's very choppy price action, because this is an otc market stock right they're, not Working with very large pullbacks and moves right just because of uh, you know the fact that it's trading for less than a penny right now, but, as i said, the potential is there.

I see a lot of great catalysts coming up. We've got that that philip moore's lawsuit we've got a lot of potential for growth in the company, and that is what i have for the video today. If you enjoyed it, please drop a like. It really does help support the channel and consider subscribing if you like, to see more content like this.

Lastly, i'm going to affiliate link in the description box down below for weeble. This is version 4 for the desktop great platform that allows you to start training at 4am in the pre-market. If you use my link, you get two free stocks, there's a 100 deposit. I receive a free stock great to support the channel, my friends and, if you're, not interested, that is totally fine.

I just appreciate your support by taking the time to watch my videos. I also dropped the merch store here recently. So if you are interested in checking that out, there's a link to that in the description box down below that was what i have for the video today guys. I hope you enjoyed it.

My friends and i will see you all next time: peace.