JP Morgan in the spotlight before earnings report on 13/07/2018

NYSE:JPM   JP Morgan Chase & Co
This Friday 13/07/2018 three of the main USA Banks are releasing quarterly results #JPM #C #WFC,

The Banking sector is experiencing positive fundamentals that have been driving the spike of their stocks in recent months:

1. USA Interest rate hikes: according to Bloomberg research, for each 1% that USA increases the interest rate level Banks like Bank of America will be benefited with extra revenue of USD 5,6 Bn .

2. Corporate tax cuts: Donald Trumps´s December 2017 corporate tax cut approval down to 21% is boosting USA Banks tax savings, according to Associated press those savings are reaching USD 3,6 Bn .

3. Deregulation: Donald Trump is willing to continue softening USA Banks regulation, such as the Volcker rule. USA Regulators already started rewriting one of the most debated Dodd Frank´s rule.

• JP Morgan is expected to release USD 2,24 EPS (, +23,07% compared to the previous results of USD 1,82 EPS .
• On the April´s 2018 quarterly result the volatility increased up to 603 pips.

Key point:
Now as shown in the chart, JP Morgan is facing a great technical momentum trading above the USD 102-104 range support as well as above two FIBO 0,382 & 0,236.

If the earnings market mover is not able to drive JPM stock clearly below the USD 102-104, I see JP Morgan with a technical bullish momentum above USD 102.

Adrian Lopez de Armentia - EFA
Trade active: After the great quarterly results of JPM, reaching Q2 record profit of USD 8,32 Bn soaring 18% YoY; the stock continues its long term bullish trend.

Enjoy your trading!


Great spike of JPM towards USD 114,25 since I post the analysis showing the bullish momentum.

Feel free to give me your thoughts!