JPMorgan is falling into earnings next week. It's paid off to buy the dip
JPMorgan Chase is among the major financial stocks kicking off earnings season next week, and its technical set-up deserves attention.
TL;DR
- JPM is testing a critical uptrend line dating back to its 2022 low.
- The stock has historically rebounded meaningfully after testing this support level.
- JPM is currently trading about 10% below its 52-week high, a significant pullback.
- Historically, buying JPM after a 10% decline has been more rewarding than selling.
- JPM's performance is important for the Financial Select Sector SPDR Fund (XLF) as it's the second-largest holding.
- A rebound in JPM could provide a boost to XLF and the broader financial sector.