Can JPMorgan Chase & Co. Hold Its Breakout Above Key Monthly Resistance Into Month's End?

JPMorgan Chase & Co. JPM now has the bearish contingent surrounding its stock biting their nails down as shares are trading above key “correction resistance” at $60.84.

JPMorgan shares have been on fire lately, as market conditions have very much been in favor for most of the company's business segments. With rates gradually creeping higher and the equity markets within a couple of percent of its short-term upside projections, will JPMorgan be able to hold its breakout above $60.84 into the monthly close?

What the bulls see:

• A steady investment banking deal flow and strong equity markets that can (if they continue strong) bolster any of the major investment banks, JP Morgan included.

What the bears see:

What The Technicians Are Saying

The technical crowd notes the breakout above key $60.84 resistance that has occurred on a daily and weekly closing basis now. That breakout, if it should hold into month's end, should lead to a continued move higher up to $75 However, if a bearish reversal were to occur prior to the end of the month, there would still exist the possibility of a move down towards the historic lows in the $20s. That is a very remote possibility at this point, but one that must be acknowledged until the monthly breakout is confirmed.

It behooves investors and traders to monitor JPMorgan into the end of the month. If the anticipated monthly closing breakout occurs, shorts will have to cover their positions and longs will be further emboldened.