Investors show signs of ‘enthusiastic faith’ in Tesla, Trump Media, IBKR says

Trading platform Interactive Brokers (IBKR) said notable buying in Tesla (NASDAQ:TSLA) and Trump Media & Technology (NASDAQ:DJT) jumping into its weekly top-actives list highlighted “enthusiastic faith” among its clients in the EV maker and former President Donald Trump’s social media company.

Tesla (TSLA) was second in IBKR’s weekly account of its 25 most-active symbols, and Trump Media (DJT) shot onto the list at 10th place, the firm said Tuesday. Tesla was by far the stock with the most net buying, at +63.4K, it said. Meanwhile, the Direxion Daily TSLA Bull 2X Shares ETF (NASDAQ:TSLL) appeared in the list for the first time IKBR Chief Strategist Steve Sosnick could recall.

“When we combine [Tesla’s] 63K with 2X leveraged TSLL’s 11K, that amounts to roughly half the overall net buying activity for the top 25 list for the week,” he said. Many of IBKR’s clients are Tesla “devotees,” prompting Sosnick to check whether all buying in Tesla (TSLA) was buy-the-dip action after the company’s “disappointing” robotaxi event last Thursday, he said.

“It wasn’t, but most if it was,” Sosnick said. “Friday morning’s report, which showed the five days of activity through last Thursday’s pre-announcement trading, showed net buying of about 23k in TSLA and no evidence of TSLL on the list,” he said. “Thus, there was some enthusiasm ahead of the event, but more of the activity represented a reaffirmation of faith in the company’s futurism,” he said. Tesla’s Q3 earnings report is due October 23.

“In another sign of enthusiastic faith,” Trump Media (DJT) leapt onto IBKR’s list, Sosnick said. The stock has soared since one of its major shareholders in late September said it sold 7.5M shares, and since Trump’s poll numbers in his presidential run have improved, the strategist said. National polling remains tight for the November race.

There’s been a “meme-like aspect” to the recent trading of Trump Media (DJT), with the price soaring ~$18 to +$30 intraday Monday even though IBKR’s ForecastTrader showed Trump’s re-election likelihood rising to 53% from 49%, Sosnick said. “Momentum traders are clearly joining the fray, since the net buying is only 1,639,” he said.

Nvidia (NVDA) topped IBKR’s list, with the stock this week hitting an all-time high.

See below for the full data on the IBKR 25 most-active list: