Current trend

Shares of JPMorgan Chase & Co., one of the largest transnational financial conglomerates in the United States, are trading within a correction trend at 219.00.

The US Securities and Exchange Commission (SEC) agreed with the bank to pay compensation of 151.0M dollars to settle five large cases regarding the misrepresentation of clients of the brokerage division during servicing: the amount includes 61.0M dollars in civil penalties and 90.0M dollars in compensation to clients. In addition, there was a message on the company’s website about the appointment of Rumesh Rajendram, formerly of Deutsche Bank AG, to the head of the consumer and retail mergers and acquisitions department in the EMEA region.

According to the financial report, the corporation’s Q3 revenue amounted to 42.65B dollars, exceeding both the forecasts of 41.45B dollars and 40.7B dollars in the same period a year earlier, and earnings per share were 4.37 dollars compared to 3.99 dollars and 4.33 dollars, respectively.

The last dividend payment after the indexation was on October 31, and shareholders received 1.25 per share, equivalent to a quarterly yield of 2.44%.

Support and resistance

On the daily chart, the trading instrument is moving within the ascending channel 235.00–207.00, approaching the resistance line.

Technical indicators are holding the buy signal: the EMA oscillation range on the Alligator indicator is expanding in the direction of growth, the fast EMAs are at a significant distance from the signal line, and the AO histogram is forming downward bars in the buy zone.

Resistance levels: 226.00, 238.00.

Support levels: 217.00, 204.00.

Trading tips

Long positions may be opened after the price rises and consolidates above 226.00, with the target at 238.00 and stop loss 220.00. Implementation period: 7 days or more.

Short positions may be opened after the price falls and consolidates below 217.00, with the target at 204.00. Stop loss — 222.00.