AXP, BAC, C, GS, JPM updates 04/19

AXP: up on earnings (who said earnings don’t matter 😉 ) and should now be in major-5. question is if major-5 will become an overlapping ending diaginal triangle (red lines) or a standard impulse ($110-$112 would be the ideal wave-iii target zone). That remains unknown. Either way, I am looking higher for AXP for now as all technical indicators (TIs) are pointing up and are on a buy.



BAC: Albeit stellar earnings a big fat drop. So what’s going on? We either had a leading diagonal first wave up or it was a b-wave up. The former means that minor-2 is about done as it found support at 29.50, or that minor-c of intermediate-iv is still unfolding to possible as low as $27. I prefer the former given overall market performance and large call buying behind this ticker. They are rarely wrong. The TIs are still pointing up and on a buy, supporting the case for higher prices. A break below 29.50 will be bearish and target the $27 zone. Hence, long stops can be place at say $29.25.



C: Call buying activity again today, which supports the case of major-4 low. Note the crisp, clean, clear Major-wave Elliot Wave Channel, and how price bottomed in the classic 23.6-38.2% retrace zone. So far so good. Price is still below the 200d SMA and I always prefer to long only above it, so I am waiting for it to close above it before going long. The 5=1 relationship targets $80: double top with major-3, and although that’s possible, I think it will extend higher. The TIs are on buy and pointing up (just look at the MACD ready to rip higher), supporting the case for higher prices.

C daily


GS: Big picture has not changed as I still expect a final move higher to complete Cycle-C

GS monthly


JPM: Like GS, the big picture has not changed and other than that either intermediate-iv is still ongoing vs already in, I do expect higher prices (125-135) eventually. The chart below is the monthly candle chart and after a 2-months correction we can expect this wave to be over soon. Hence, one should still be long JPM, with a stop now at $100 (5% stops get too often hit by the market, even 10% stops do; algos sniff them out; so give the position a change to work in your favor bu giving it a bigger leash. Note the higher highs on the monthly RSI5: suggesting higher prices. The monthly MACD is firmly pointing up, and coming down but not on a sell. There’s negative divergence on the monthly Money Flow, which is the only warning for now.

JPM monthly


V: Is major-4 in or not? Bit uncertain at this stage, but I think it is, although we’ll let price decide. Note the black consolidation box, which is technically a healthy sign after a 2 year run up and thus we can simple do the following for our trading: break higher (>125) than major-5 underway. Break below (<116) and major-4 is targeting 106. Thus wait for either signal to decide what to do. A break higher can target $145ish, so plenty of upside left in that case. Earnings are April 25th, its fate will likely be decided then 😉