JPMorgan Chase has been consolidating for weeks, and some traders may expect resolution to the upside.
The first pattern on today’s chart is the gap on May 12 after Treasury Secretary Scott Bessent signaled progress in trade talks with China. The news pushed JPM above $263, and the stock has chopped on either side of that level since.
In the process, Bollinger Bandwidth has narrowed to the bottom of its longer-term history. Could that tight price action give way to expansion?
Third, the megabank stalled around $255 in early March and late March. The current consolidation has occurred above that level, potentially suggesting that old resistance has become new support.
Next, the series of lower highs since May 15 has created a falling trendline. That resistance may provide a reference point for a potential breakout.
Finally, the 8-day exponential moving average (EMA) has remained above the 21-day EMA.
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The first pattern on today’s chart is the gap on May 12 after Treasury Secretary Scott Bessent signaled progress in trade talks with China. The news pushed JPM above $263, and the stock has chopped on either side of that level since.
In the process, Bollinger Bandwidth has narrowed to the bottom of its longer-term history. Could that tight price action give way to expansion?
Third, the megabank stalled around $255 in early March and late March. The current consolidation has occurred above that level, potentially suggesting that old resistance has become new support.
Next, the series of lower highs since May 15 has created a falling trendline. That resistance may provide a reference point for a potential breakout.
Finally, the 8-day exponential moving average (EMA) has remained above the 21-day EMA.
TradeStation has, for decades, advanced the trading industry, providing access to stocks, options and futures. If you're born to trade, we could be for you. See our Overview for more.
Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at https://www.TradeStation.com/DisclosureOptions. Before trading any asset class, customers must read the relevant risk disclosure statements on https://www.TradeStation.com/Important-Information/. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.
Securities and futures trading is offered to self-directed customers by TradeStation Securities, Inc., a broker-dealer registered with the Securities and Exchange Commission and a futures commission merchant licensed with the Commodity Futures Trading Commission). TradeStation Securities is a member of the Financial Industry Regulatory Authority, the National Futures Association, and a number of exchanges.
TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit https://www.TradeStation.com/DisclosureTSCompanies for further important information explaining what this means.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.