Trump Media & Technology (DJT) shares surged 6.04% in intraday trading on Tuesday, driven by significant bullish options activity. The stock's momentum comes as investors show renewed interest in MAGA-related stocks, following the recent IPO success of conservative news network Newsmax.
Options data revealed unusually high call volume for Trump Media, with 19,265 calls trading, which is double the expected amount. This surge in bullish bets suggests that traders are anticipating further upside for the stock. Additionally, the implied volatility for DJT options increased by over 3 points to 78.78%, indicating heightened market expectations for potential price swings.
The bullish sentiment around Trump Media comes at a time when Newsmax, another media company with a conservative perspective, has seen its stock skyrocket over 735% since its market debut. While Trump Media's current rally is more modest in comparison, the increased options activity suggests that some investors may be betting on DJT to potentially follow a similar trajectory.
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