Lithium Stocks Could Be Moving Again

NYSE:SQM   Sociedad Quimica y Minera S.A.
Lithium producers have outperformed this year thanks to the widening use of electric vehicles. With the metal’s price continuing to advance, today’s charts highlight several names in the group. We’ll start with Sociedad Quimica y Minera.

The Chilean stock has consolidated since the spring while making incrementally higher lows. A falling trendline formed along the highs of September and October, which SQM just broke. Also notice how prices fought back above the 50-day simple moving average (SMA).

Similar patterns have occurred in other names. Albemarle, for example, made a higher low in October versus July. It dropped on November 3 after revenue missed, but clawed back to close in the green. ALB proceeded to break its own 50-day SMA and trendline before hitting a new record high on Tuesday:

NYSE:LTHM is also pushing against a trendline:

LAC and PLL , which have smaller market caps, have also made higher lows and are fighting trendlines. However they remain further from their all-time highs.

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