Do you see what DGDM is capable of? This is very important, so pay close attention.
On two separate occasions over the past 1 year period, DGDM has provided short-term surges of 400%+.
Back in December of 2019, DGDM hit a low of $.05 on the 23rd before going on a stunning run to $.2799 on January 9th, just 2 and a half weeks later.
That run? A simple 459%.
After that initial surge, DGDM sank back down to around the $.05 level for a good portion of 2020 before another big run in August/September.
Starting from an August 18th low of $.041, DGDM once again soared to a high of $.21 on September 10th.
This time in just over 3 weeks, DGDM exploded 412%.
Two Separate Breakouts... Two Runs Of Over 400%!
This is where things get interesting. Currently, as of early hours Tuesday, DGDM is once again trading around that $.04 - $.05 level it traded around previously before both major runs.
And, according to Barchart's website, there are several oversold leaning technical indicators that could be signaling an upcoming healthy reversal/bounce in the near-term.
No. 2 Potential Driver Indicator - Key Oversold Technicals
Here's Investopedia's definition of a reversal:
"A reversal is a change in the price direction of an asset. A reversal can occur to the upside or downside. Following an uptrend, a reversal would be to the downside. Following a downtrend, a reversal would be to the upside. Reversals are based on overall price direction and are not typically based on one or two periods/bars on a chart."
As you can see in the chart above, DGDM is coming off a recent downtrend that starting during mid-September's $.21 high.
With this downtrend, several of DGDM's technical indicators have moved into oversold territory (as of close Monday 11/2) and could be signaling an upcoming reversal/bounce from current levels. They are DGDM's:
- 9-Day Relative Strength Index: 27.88%
- 14-Day Relative Strength Index: 33.11%
With those two figures in the low 30% and upper 20% range, traders can view DGDM as a profile that's oversold, leading them to believe it is undervalued.
Two more technicals to watch are DGDM's:
- 14-Day Raw Stochastic: 5.73%
- 14-Day Williams %R: 94.27%
When the Raw Stochastic in the mid single digits and the Williams %R right around the mid 90% level, traders can also view this profile as oversold and undervalued.
Technicals are very important potential driver indicators to factor in, but there is also a bunch of stuff happening with this company that could take them mainstream sooner rather than later.
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No. 3 Potential Driver Indicator - DGDM Enters A Major Hemp Industry Segment
A recent press release places DGDM at the center of the hemp-based alternative meat movement, which is a rapidly growing facet of the space.
According to Technovia, the hemp-based foods market size has the potential to grow by $364.98Mn during 2020-2024, and the market’s growth momentum will accelerate during the forecast period.
DGDM to Establish Facility Targeting Hemp-Based Alternative Meat Opportunity
Flower Mound, Texas, and Ronan, Montana--(Newsfile Corp. - October 8, 2020) - Digital Development Partners, Inc. [...] is excited to announce the launch of the Company's new "Black Bird American Hemp" processing division, a strategy focused on the production and sale of high-quality hemp-based protein products to target the rapidly expanding alternative meat industry, which is currently dominated by Beyond Meat and Impossible Foods.
"Exceedingly high in protein, naturally gluten-free, low in carbohydrates, with omega fatty acids and all of the amino acids - the nutritional value of hemp hearts, the 'nut' inside the hemp seed, cannot be overstated," commented Fabian Deneault, President of DGDM. "By focusing on hemp as a food product, we believe Black Bird American Hemp will have the ability to deliver a compelling high-quality, cost-effective, good-tasting protein source to the dynamic alternative meat industry."
According to a recent report from Barclays, the alternative meat industry is expected to approach $140Bn in annual sales by 2029. Management believes Black Bird American Hemp will become a leading producer of several traditional hemp products, including animal bedding, insulation, and hemp plastic.
The Company recently retained the services of Ag Processing Solutions, Inc., a Great Falls, Montana-based hemp processing consulting firm, whose President, Andrew Bishop, stated, "the hemp industry has a lot of potential for growth. However, the first step is establishing the industrial hemp supply chain. An essential link in that chain is locating processors near hemp growers. I'm excited to work with Black Bird American Hemp on a facility that utilizes the whole hemp plant."
Read the full article here.
Between the potential growth in the alternative meat industry and hemp-based foods market over the next decade, DGDM could be entering an exciting space at the right time.
Product Diversity. DGDM President, Fabian Deneault also shared this recently:
"While we remain committed to hemp-based protein products to target the rapidly expanding alternative meat industry, it is important to note the size of the overall hemp products market beyond that particular segment. We need not chose just one segment; we are committed to developing a wide array of hemp products. The hemp market is enormous, with awareness of non-CB hemp products accelerating rapidly, but it remains fragmented, thus providing our hemp processing division with the freedom to go after market share in several key product areas, including within the construction industry, the personal care industry and the animal care industry."
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No. 4 Potential Driver Indicator - MiteXstream Testing Update
DGDM Provides Further Analysis of Specific Trial Testing Results of Its Disruptive Pesticide Product Targeted at MJ Growers
Flower Mound, Texas--(Newsfile Corp. - September 10, 2020) - Digital Development Partners, Inc. [...] provided further information relating to the results from ongoing pre-EPA certification in-field, private-party testing of its MiteXstream biopesticide.
In-Field Private Party Testing. We'd, a Montana-licensed Medical MJ Dispensary based in Missoula, provides MMJ availability to MMJ cardholders in five Montana cities and has been testing MiteXstream on a designated portion of its CANBS crops over the past year.
No Mites, Mold, Mildew. We'd's owner, Dylan Matteson, made several observations. "The bottom line is: MiteXstream works extremely effectively. We treated selected plants at each of our grow locations over their entire growth cycle, beginning shortly after sprouting through the day of harvest. We experienced zero spider mites, molds or mildews on the MiteXstream-treated plants, while we did experience spider mites on non-treated plants. However, on the affected plants, a single spray of MiteXstream eliminated them, preventing further propagation."
Third-Party Lab Test Results. Third-party lab test results for prohibited pesticides on CANBS treated exclusively with MiteXstream are included in DGDM's most recent Form 10-K filed with the SEC [...].
From now until the anticipated December 2020 EPA approval, the company intends to solidify its distribution strategy.
"I continue to tell everyone, we believe that MiteXstream will prove to be the game changer we thought it would be from the moment we developed it," said Fabian Deneault, DGDM's President.
Eradication + Human Safety. MiteXstream destroys spider mites and, importantly, the eggs, almost on contact. And the MiteXstream "super power" is: it can be applied directly to crops through the day of harvest on MJ and satisfy all MJ state testing standards, including Oregon, at zero parts per million.
Read the full article here.
If EPA approval is granted in December, it could be the news that brings this profile into the mainstream.
But, could more big news come before it? If so, it's important to note this...
No. 5 Potential Driver Indicator: DGDM's Low Float
When a profile has a low float, the potential for volatility can be in the cards on a daily basis.
According to Yahoo Finance, DGDM has a low float of approximately 31.94Mn shares.
That means any time positive company news comes out, DGDM could see momentum provide a vertical chart movement in the short-term.
And, don't forget, in the past year DGDM has seen two separate short-term runs of 400%+ in just the matter of weeks.
Could that next run be starting soon?
DGDM Driver Indicator Recap - What To Focus On Now
No. 1. Huge DGDM Chat Potential
No. 2. Multiple Oversold Leaning Technical Indicators
No. 3. DGDM's Hemp-Based Alternative Meat Opportunity
No. 4. MiteXstream's December EPA Anticipated Approval
No. 5. DGDM's Low Float
Coverage is officially initiated on DGDM.
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