JPMorgan’s Tight ActionJPMorgan 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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