Trump Media & Technology Group (DJT) stock rose by as much as 25% on Wednesday after Donald Trump’s victory over Kamala Harris in the US presidential election had been announced. Although the stock experienced significant fluctuations throughout the day, it eventually ended the day positive by approximately 6%, despite a number of trading halts caused by the high levels of activity.
The Associated Press announced that Trump won the election by getting Wisconsin, which enabled him to reach the 270 electoral votes mark required to return to the White House. By virtue of this victory, Trump not only became the 45th president of the United States but also the 47th president, which is a unique feat that spurred renewed investor interest in his social media company called Truth Social and related technology projects.
Trump’s Election Win Sparks DJT Stock Surge
When we look at the price of $36 per share, DJT has the market capitalization of the company amounting to $7.2 billion, while Trump’s approximately 60% stake now represents a value of $4.3 billion, a $500 million increment on a single trading day. Through the expanded evening trading on Tuesday came when Harris’s road to a win had narrowed. The stock soared as early as Wednesday morning, just after Trump declared victory.
DJT’s stock has experienced a dramatic week by going to a high of a double-digit rise on Monday only to drop a few points after considerable fluctuations that led to the temporary suspension of trading. After Facebook and Twitter suspended his accounts following the Capitol riots on January 6, 2021, Trump set up his own version of Twitter, Truth Social.
Though he was brought back, his first post on X came only in the middle of August after Twitter’s rebrand as X. Trump’s Electoral success, combined with Truth Social’s probable political power at the negotiation table, now makes DJT one of the most interesting guys to keep an eye on in the current cycle.
DJT Chart Stock Analysis
DJT/USD 15-Minute Chart
On the 15-minute chart for Trump Media & Technology Group Corp. (DJT), we’ve witnessed a highly volatile movement over the last few days. The stock spiked to a high just short of $54.68. Reports suggest this increase was due to election news. When the price began to decline, excess selling was the primary cause. This brought the stock down to $36.00, where it is currently trading.
There was a clear drop in price on October 30, but then the situation stabilized and we were hovering around the $30 level, which looks like an important support zone. This area was a magnet for buyers, propelling a rally to almost $40 by November 5. Yet, the ensuing purchasing activity was rather transitory, and the stock siphoned back to about $36, the level which reminds of some indecisiveness of the market participants.
The RSI is currently at 50, which neither tells us the stock is in an overbought nor in an oversold phase. The neutral stance indicates that the market is waiting for greater clarity.
DJT cracking above the $40 line might also cause a new bullish run. On the contrary, a breakdown of $30 may be a sign of further decline to come. We are monitoring ongoing political matters like that of DJT because they are likely going to be the keys to DJT’s next actions.
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