Dow Jones futures fell slightly Thursday morning, along with S&P 500 futures and Nasdaq futures. The stock market rally attempt had a quiet session Wednesday, with the major indexes holding on to the prior two sessions’ strong gains. Apple (AAPL) continued to lead, surging to record highs nearing a market cap milestone.
But the market rally attempt still needs confirmation of institutional support. Look for a follow-through day in the coming sessions.
The Lithium & Battery Tech ETF (LIT) rebounded bullishly from its 50-day line Wednesday. The LIT ETF is a good way to play the lithium, battery and EV market. Its top holding is lithium miner Albemarle (ALB), but Tesla stock and China EV and battery giant BYD (BYDDF) also are notable components. Several Chinese battery makers that aren’t listed in the U.S. are in LIT, including Tesla (TSLA) supplier CATL. LIT is a good way to play the broad EV trend without trying to pick a specific winner.
Tesla stock is on IBD Leaderboard and the IBD 50. LIT is on SwingTrader.
Trump Stock DWAC
Donald Trump SPAC stock Digital World Acquisition (DWAC) spiked 28% to 65.42 in Wednesday’s session. Trump Media & Technology Group and its planned Truth social media site are, for now, more of an idea than a going enterprise. DWAC stock shares a lot of qualities with so-called meme stocks such as GameStop (GME). But if you were to play DWAC stock, Wednesday offered a chance to do so on a technical basis. DWAC stock surged from its 21-day line and cleared short-term resistance in the heaviest volume since late October. But already DWAC stock looks extended.
The Trump stock fell modestly in premarket trade Thursday.
Earnings After Hours
Meanwhile, GameStop, the original meme stock, reported a wider-than-expected Q3 loss after the close while revenue topped views. GME stock retreated solidlyovernight. Shares fell 2.3% to 173.65 on Wednesday, below their 50-day and 200-day lines.
Also late Wednesday, Upscale home furniture retailer RH (RH) delivered better-than-expected earnings and raised guidance. RH stock shot …….