ARNA has formed a nice ascending triangle pattern and if it can breakout it would potential be a 20% move higher. ARNA’s triangle needs to break above 9.44 to start, the next strongest resistance level ist at 9.99. If it breaks this a move to the 11.68 price target is very possible. The 11.68 area is also a natural resistance level and the highs from earlier in the year so this make sense for a potential reversal point and target. Another bullish consideration for this stock is the high short interest with over 20%, a move above the 9.44 could start of short covering.
Pattern: Ascending Triangle
Measured Move: 7.20 to 9.44 = 2.24
Breakout Level: 9.44
Pattern Voided: Below 8.54
Price Target: 9.44+2.24 = 11.68