Aris charts are solidly bullish. The stock has been chopping sideways, building a base for an attempt on futher upside. The upside resistance is at 5.33, which represents the half-way point between the 4-year peak and low. It should be a fairly stiff opponent.
We have less that two weeks until the B series warrants expire. This eliminates any shorts that own the warrants from have a sure fire cover point. Hence, an insurance policy against large losses. Their expiration brings in about C$19 million into their bank and possible alleviates sell side pressure.
Speaking of shorts, short trade has exploded to a year high as of a few days ago. This bodes well for fuel to help Aris get through 5.33.
Aris Short Data At roughly 15.5 months until expiry, with volatility of 40%. The A series warrants are worth 0.44. Today they are trading at 0.34 or at a 29% discount. Strike is at 5.50, which is right around the corner.
Aris Short Term Aris Long Term