Almonty Industries Soars 15.8% on Legal Action and Strategic Tungsten Expansion – What’s Next?

Summary
• Almonty Industries (ALM) surges 15.78% intraday, hitting a 52-week high of $10.27
• Legal battle with Pure Tungsten Inc. intensifies, alleging misleading statements about management and operations
• Sangdong Mine drilling program in South Korea aims to secure 80% of non-China tungsten supply
• Technicals show RSI at 85.87 (overbought), MACD above signal line, and a short-term bullish Kline pattern

Almonty Industries has ignited a dramatic intraday rally, driven by a high-stakes legal dispute and strategic advancements in its South Korean tungsten operations. The stock’s 15.78% surge to $10.0032 reflects investor confidence in its market-integrity defense and supply-chain positioning. With technical indicators flashing bullish signals and sector dynamics shifting toward critical mineral security, the question now is whether this momentum can sustain.

Legal Defense and Strategic Drilling Fuel Volatility
Almonty’s explosive move stems from its legal action against Pure Tungsten Inc., which the company alleges has disseminated false claims about its management and Sangdong Mine. This litigation underscores Almonty’s commitment to market transparency, a critical factor in a sector where supply-chain integrity is paramount. Simultaneously, the company’s large-scale drilling program at the Sangdong Molybdenum Project—aimed at confirming reserves amid South Korea’s molybdenum shortage—has amplified investor optimism. These dual catalysts, combined with Almonty’s role as a non-China tungsten supplier, have positioned it at the intersection of geopolitical supply-chain demand and operational clarity.

Technical Bullishness and ETF Correlation: A High-Velocity Play
• RSI: 85.87 (overbought, suggesting potential pullback or continuation)
• MACD: 0.8526 (bullish divergence from signal line at 0.6257)
• Kline Pattern: Short-term bullish trend confirmed
• Bollinger Bands: Price at 10.0032, well above upper band of 8.3862 (indicating strong momentum)

Almonty’s technicals scream short-term bullishness, with RSI in overbought territory and MACD widening. The stock is trading near its 52-week high, supported by a 17.33M revenue forecast and a 100% YoY earnings growth expectation. While no options chain is available, the ETF landscape remains silent, leaving traders to rely on pure technical analysis. Key levels to watch include the 52-week high of $10.27 and the 200-day moving average (unavailable), but the current trajectory suggests a test of $10.50. Aggressive bulls may consider a breakout above $10.27 as confirmation of sustained momentum.

Backtest Almonty Industries Stock Performance
I attempted twice to run a formal “event back-test” on Almonty Industries (ALM.O) for every session in which the intraday high was ≥ +16 % (Jan-2022 → today). Unfortunately, the event-back-test engine is currently throwing an internal exception (missing function convert_statistics), so the calculation cannot complete.Two practical ways to proceed:1. Apply a “strategy back-test” instead • Treat every 16 % intraday-surge day as an opening signal. • Close the trade after a fixed holding period (e.g., 1, 3, 5 or 10 trading days) and/or add stop-loss / take-profit rules. • This will still provide forward-return, draw-down and other metrics, and the strategy back-test engine is functioning normally.2. Wait for the event-back-test module to be fixed.Please let me know which option you prefer (and, for option 1, the desired holding period and any risk-control rules). I will then re-run the analysis immediately.

Almonty’s Legal and Operational Catalysts: A High-Stakes Bull Case
Almonty’s legal battle and drilling program have created a compelling narrative for investors seeking exposure to critical minerals and supply-chain resilience. The stock’s technicals align with this bullish thesis, but caution is warranted as RSI overbought levels may trigger a retracement. For now, the focus should remain on the outcome of the Pure Tungsten litigation and progress at Sangdong. Meanwhile, sector leader Freeport-McMoRan (FCX) is down 1.27%, highlighting the divergent momentum within the mining space. Investors should monitor the $10.27 level for a potential breakout or breakdown, with the former signaling a new phase of growth and the latter a test of institutional support. In a world where tungsten scarcity and geopolitical tensions collide, Almonty’s story is far from over.