JPMorgan Chase (JPM) – Get Report is often considered a best-in-breed bank stock, which is why investors will be looking for the company to be a leader as this earnings season kicks off.
JPMorgan will report earnings on Tuesday before the open along with Citigroup (C) – Get Report and ahead of others like Bank of America (BAC) – Get Report, Wells Fargo (WFC) – Get Report and Goldman Sachs (GS) – Get Report.
Unlike the S&P 500, which has made new 52-week highs, JPMorgan and the banks continue to struggle.
While off the lows, plenty of technical damage remains. Investors will look to see if management is less cautious than it was in the summer and if the consumer is looking better or worse from three months ago.
If investors like what they hear, it could trigger a nice move higher for JPMorgan and its peers this quarter. If not, it could put bulls in a tough spot as we progress through the fourth quarter.
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Trading JPMorgan Stock
Surprisingly, when the rest of the market was pulling back in the first half of September, JPMorgan stock held steady. The decline in tech was spilling over into the indices, but not into the financials. However, the group couldn’t hold up forever.
JPMorgan stock ended up selling off in the second half of September and testing down into range support near $90.
Since testing into support, JPMorgan stock has rebounded sharply, reclaiming the 20-day and 50-day moving averages in