Score 8 (out of 10): JPMORGAN CHASE could be impacted by macro data and rally +13% over next 3 months

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What’s Going On Here?

For the past 18 months, JP Morgan has been preparing to launch a full-service travel business where customers can plan and book trips ranging from a simple domestic flight to an extravagant safari.

Why Now?

JPMORGAN CHASE & CO indicates an interesting buy set up for the next 3 months. During the previous 4 instances when the ISM Manufacturing New Orders fell below 50 for the 2nd consecutive month, after being >50 for at least 9 months (as has just happened), JPMORGAN CHASE & CO rallied by +12.7% during the following 3 months, with a hit ratio of 75%. This buy signal received a high score of 8 (out of 10). This insight was generated with a closing price of 112.82.

What’s This Company About?

JPMORGAN CHASE & CO is in the Diversified Banking Inst business. Based on the last 2 years’ risk/return profile, this asset is seen as Very Risky. Ticker symbol: JPM US.

What’s My Risk / Reward and Time Horizon?

We found 3 months to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 127.11 (+12.7%) has been reached.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ under (2), etc.

Previous episodes:

22.1% (2019-08-30), -5.9% (2015-12-31), 13.9% (2012-06-29), 11.4% (2009-06-30)

Historical Chart:

Summary:

NameJPMORGAN CHASE
ViewUp
Star (1 to 10)8
Target13%
Time3 months
Hit Rate75%

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