What’s Next for Strong Financial Stocks JPM and GS

Jun 2, 2015: 9:36 AM CST

Leading Financial stocks JP Morgan (JPM) and Goldman Sachs (GS) topped the list of “Strong Dow Jones Stocks Getting Stronger” last night.

Let’s do a quick update and plan what opportunities are in store for trading these big names.

Goldman Sachs Daily Chart (GS):

After the January sell-swing ended into the $172.50 level, buyers propelled the stock $25.00 higher toward the current $208.00 per share peak.

At this point, we’re seeing a logical pullback (retracement) that targets the $205.00 area (or slightly lower) which is the overlap of the May low and 20 day EMA.

If sellers instead trigger a larger retracement, Goldman shares would be a short-term bearish support-break candidate under $203.00 to target the $200.00 level again.

Otherwise, this stock continues to remain on a “strong getting stronger” watchlist to buy the pullback near $205.00 or bullish breakout above $208.00.

We’re seeing the same thing – at different levels – in JP Morgan Chase (JPM):

Similarly, buyers propelled JPM up from $54.00 to the current $67 per share peak.

A logical retracement takes price toward the $65.00/$65.50 support confluence and aggressive buy zone.

A continuation of the uptrend suggests a buy at current levels while a trigger-break under $65.00 sets in motion a sell-swing down toward the $64.00 support target of the lower Bollinger Band and rising 50 day EMA.

I color-code my charts in terms of “Price Pathways” from which we build short-term trades.

Continue following these names and note what happens next at these key uptrend support levels.

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Corey Rosenbloom, CMT
Afraid to Trade.com

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2 Comments

2 Responses to “What’s Next for Strong Financial Stocks JPM and GS”

  1. Charting the 3 Weakest Stocks in the Dow Right Now | Afraid to Trade.com Blog Says:

    […] Charting the 3 Weakest Stocks in the Dow Right Now Jun 3, 2015: 10:05 AM CST Yesterday I charted two strong financial Dow Jones stocks for you – Goldman Sachs and JP Morgan. […]

  2. Scanning the Four Dow Jones Stocks at New 52 Week Highs | Afraid to Trade.com Blog Says:

    […] Take a moment to view my prior update on “Strong Trending Dow Stocks JP Morgan and Goldman Sachs.” […]