Blum Holdings Inc (BLMH)

[sleekscape]

TRTC was an easy call last week for those who understand arbitrage trading...

sleekscape Member Level Wednesday, 03/23/16 06:39:08 PM
Re: None
Post # of 165771
Hedge at .23 due to warrants under .10 is now gone

The shorting phase is over.

Magna has zero shares until they might get their final stack on Monday, which will be the last stack they are entitled to get -- It will only be for about 3.5M shares since the 3/5 VWAP will be around .22 and that's how many shares they get for $750,000

Dominion looks like they only have a few million left from the warrants they converted over the past few weeks.

Bottom line: The last 60 minutes of trading was a preview to tomorrow and will be a preview to what we see from April 1st thru the rest of 2016.

Arbitrage is a big part of the selling pressure and it looks to be over now.

So to summarize:

3 Factors have held the stock price back in March -- it sounds funny because we are up almost 100% this month, but it is true:

1) Arbitrage trading due to the cheap warrants -- THIS IS NOW OVER

2) Magna -- NOW OVER, but they will likely get 3.5M shares on Monday, which is peanuts given the volume we are doing and they should sell those shares completely by close of trading that same day.

3) Dominion -- Based on my calculations I have tracked for the past few months, coupled with this week's trading, and particularly the last hour of trading day, I estimate they have no more than 2M shares remaining.

So the institutional selling/shorting of 10M-12M shares every we have seen weekly over the past few weeks is now reduced to almost zero tomorrow -- I don't see Domimion selling more than 500,000 shares tomorrow.

And next week, we will have the 3.5M shares from Magna and the final 1.5M shares from Dominion, which represents about 35%-40% of the selling pressure we will experience compared to the past few weeks.

After next week, when April begins, all 3 institutional selling forces will be COMPLETELY OVER.

As a result, TRTC should VERY conservatively see .30s next week and .50s in April -- we could move a lot higher than that in April due to all news that TRTC puts out, coupled with 4/20 and all the media attention on the sector and TRTC in particular as the leader of the sector -- but the call for $.50s in April takes into account the future trading dynamics based on my knowledge of the trading dynamics I have explained in this post -- and ignores the news aspects.

I know this may sound complicated to some, but I am doing my best to keep things simple.

I hope this helps some of you.

Regards,
Sleek