Element Nutrition (ELMT.CN)  is an innovative and research driven Canadian nutraceutical company specializing in the development of science-based products for the global consumer packaged goods market, with a portfolio focused specifically on men and women over the age of 50. Element’s lead product, Rejuvenate, is a proprietary formulation that is clinically proven to assist in the rebuilding, restoration and rejuvenation of natural loss of muscle mass due to aging or other medical conditions. Element also offers JAKTRX, an elite brand of performance supplements.

 

 

Take a look at their distribution partners. Some big names and this is key. This isn’t just items you can only grab online:

 

 

I have to admit, I am a big supplements guy. I take multivitamins, fish oil, greens, protein, probiotics and pre workout drinks. Maybe I’m a bit health conscious, but I think this is a huge trend, and will continue going forward. I am super bullish supplements going forward.

 

Let me put it this way: with governments piling on the debt, future generations will have to pay more taxes to even receive the same amount of healthcare we have now. An issue that will have to be addressed going forward, but most people already see this. Staying healthy and remaining healthy will become even more popular, even with older people that may have to work longer than before. People like Kevin O’Leary and even Harvey Dent, who is bearish markets overall, sees the next big opportunity in vitamins and supplements.

 

A lot of debate on whether supplements and vitamins are actually good for you, or if they are a waste of money. To be honest, I really think food now a days have less vitamins and minerals due to the soil and pesticides, and let’s face it, most people do not eat balanced or healthy meals. People are on the go, and don’t eat properly. I still remember back in the school days when we used to talk about a balanced diet of grains, fruits and veggies, dairy and meats. I’m guilty of not having a balanced diet. Most have cut the grains and dairy part from their meals, and meats is a whole different story. I look to supplements to make up for the lack.

 

My parents are past their 60s. They are still working, and have been vegetarians all their life. They remain quite healthy, but things such as iron, calcium, omega oils, and B12 are huge for them. Adding more protein to remain fit is huge. Recently, they have taken up drinking Boost. Mainly because it is a good deal when they go to Costco.

 

 

But consumer choices has changed dramatically. They will fork up more cash to buy products that have less sugar, are healthier, and are more natural. My parents complain about the taste of Boost, so I will be purchasing Element Nutrition’s Rejuvenate drink and see how they like it.

 

Overall this is going to be a big market. Yes, there will be a lot of competition in this space going forward, but Element Nutrition has a nice head start and a leg up with the retail distributor list.

 

 

Currently Element Nutrition sits with a market cap of $68 million.

 

 

Chart wise we have some interesting levels and developments to work with. We had a few days of pop, and the a dump on Sept.17th with 290,478 shares traded.

 

I liked the fact we closed above $0.725. I don’t like the fact that we then subsequently closed below $0.725. This level has been a key resistance zone. When we broke out, what was once resistance now becomes new support. Typical breakout price action tends to see price retest this zone as support before continuing higher. With this breakdown, we have a fakeout. This means price may just range now, but the key will be getting back above $0.725.

 

Notice how we attempted to do so today, but the candle shows a large wick indicating sellers jumping in there.

 

Some positive news. Notice my trendline? Today’s price action pulled back to retest it, and so far, is holding above. This is a good sign, and could lead to a bounce. However we still want to see $0.725 taken out. Once we can gain some footing above $0.725, then previous highs around $0.90 will be tested, with a potential breakout into all time record highs.