JP Morgan is Near a Key Support Area

Published on Wednesday, 03 October 2012 07:00 Written by TradersHuddle Wire

New York, October 3rd (TradersHuddle.com) - Shares of JP Morgan Chase & Co. (NYSE:JPM) are trading very close to calculated support at $39.70 with price action closing at just $40.92 and placing the stock near levels where traders will start paying attention.

JP Morgan's stock range is defined by its calculated support defined at $39.70 and by the resistance level at $42.09, which should be used by traders planning their trades. These support and resistance levels are based on a peaks and troughs algorithm of the stock's price action.

Traders wanting to establish a position should pay close attention to JP Morgan's price action, and establish it as close to support as possible, but only after buying materializes. Traders should understand that the resistance point at $42.09 might limit their upside, however, if the stock breaks resistance, it could be a good point to add to the position.

JPMorgan Chase & Co. (NYSE:JPM) provides global financial services and retail banking. The Company provides services such as investment banking, securities services, asset management, private banking, card member services, commercial banking, and home finance. JP Morgan Chase serves business enterprises, institutions, and individuals. JP Morgan, the second largest U.S. lender, was founded in 1823 and is headquartered in New York, NY.