Stock of the Day: JPMorgan

And now let’s move to today’s stock of the day and take a look at JPMorgan Chase. While the broader trend on the stock remains bullish, the chart is starting to display early warning signs that a potential reversal may be developing.

The key structure to focus on is a triple top formation, marked with orange. This pattern suggests that upside momentum is weakening, as buyers have repeatedly failed to push price sustainably higher. At the moment, price is trading directly on the neckline of this formation, marked with the red line, and is effectively waiting for further direction.

The fact that price is spending time on this neckline is already suspicious from a technical standpoint. Rather than seeing an aggressive rebound, demand appears muted, which increases the probability of a downside break. A daily close below the red neckline would activate the pattern and generate a proper long-term sell signal, opening the door for a broader corrective or reversal move.

On the bullish side, the scenario remains valid as long as support holds. A strong and decisive bounce from this level, similar in character to the rebounds seen in November or September, would signal renewed buyer interest and invalidate the bearish setup. In that case, the triple top would fail, and the dominant uptrend would likely resume.

At this stage, JPMorgan is sitting at a critical technical level. The next daily close will be crucial in determining whether this develops into a larger reversal or remains just a pause within the ongoing uptrend.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-jpmorgan