James Cramer XLF Observation

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James Cramer of CNBC's Mad Money made an interesting observation on JPM, BAC & the XLF etf Tuesday evening. Worth a listen.  Now Jim Cramer in the video looked at 2 specific time periods, Now...the returns can vary greatly, all depending on several possible key time frames. In the charts below we have a March 2009 low ~to date; as well as a 3 year period. If one goes back to the March 2003 low ~ to date period; the returns are as follows~~ JPM +75%, S&P +25%, XLF -30% & BAC -55%. The weighting of XLF JPM = 11.49% & BAC 10.47%.
Below are JPM, BAC, XLF & $SPX from the March '09 bottom & 3 years ago to present....interesting. *Itz Pix portfolio suggested bank stocks are JPM, C, & LNC.

JP Morgan Reports Earnings

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JPMorgan's net profit per share was $1.09 in the second quarter, compared with the analysts' consensus forecast of 67 cents and up from earnings per share of 28 cents in the second quarter of last year.
Revenue was of $25.6 billion in the second quarter, in line with expectations.
"On the whole this number is not a good number… it's here because they've taken money out of reserves and put it into earnings," Bove said. >>read more

JP Morgan, FinReg & Earnings

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JPM Q2 earnings consensus are at $0.82 JPMorgan is scheduled to report on July 15th, before the market opens. Reserving again remains the largest variable to reported earnings. Itz Stock Chartz expect weakness in both equities and fixed income trading. RFS revenues pressured by declining loan balances. That along with FinReg has been factored into the current stock price and at 8 times forward earnings the stock is undervalued. JPM is best positioned to benefit from reserve drawdown in ’10 given slowing growth in problem assets and strong reserve levels. This should support JPM’s ability to achieve a normalized level of earnings ahead of peers. Full-year 2010, 2011, and 2012 operating EPS estimates are $3.30, $4.70 and $5.50. PRICE TARGET $60

JPMorgan Chase (JPM) : Target $53

In anticipation of somewhat softer Q1 results due out late next month, analysts at Oppenheimer reduced earnings estimates on several of U.S.'s largest banks this morning. The firm notes that "mid-quarter downdraft in equity prices - which has since been reversed - generally pressured equity, M&A and investment banking revenues." Although Oppenheimer sees loan volumes continuing to fall moving forward, the firm still believes that these banks are on track for a solid multi-year rebound.

Oppenheimer lowered its Q1 earnings estimates on JPM.
JPMorgan (NYSE: JPM) from $0.79 to $0.70, vs. the analyst consensus of $0.65. Firm maintains an Outperform rating and $54 price target. Itz Stock Chartz has a $53 Price target if it breaks over $47 resistance.

JPMorgan Chase (JPM)

As the S&P500 ($SPX) approaches resistance @ 1150, JPMorgan Chase (JPM) is also finding resistance as it nears $43/$43.50 level.

Update: JP Morgan (JPM)

Nice chart on JP Morgan Chase (JPM)-- S&P gives JPM a very positive 5 STAR (out of 5) STRONG BUY rating. I suggested a buy last week and continue on JPM.

Banks Attractive

A few weeks ago I suggested buying JPMorgan (JPM) on the fear being created by the Obama administration..."Buy the Fear".  Charts are attractive... BUY! read previous post

JPMorgan Chase (JPM) Update

I agree with Joe Terranova and his JPMorgan Chase (JPM) comments on CNBC's Half-Time on Fast Money (see video clip below). Technicals support buying or adding to position [Itz Pix entered in November 2009 @ $42]. Note testing both the 200 ema * sma, intraday low right @ 50% retracement level. President Obama's banking proposal will take some years to take effect and most likely will get watered down going through Congress. Use the market's fear & weakness to buy &/or add to positions.

JPMorgan (JPM) & Proposed New Bank Regulations

President Barack Obama proposed Thursday new rules designed to restrict the size and activities of the U.S.'s largest biggest banks, the latest in a series of administration moves to curb Wall Street. >>READ STORY

My take is that this proposal is very confusing...How do you define 'Proprietary' Or 'Risk'? Sounds like the administration is making this up as they go along?
I would not sell JPM here, let this settle for a few days and see how it plays out as more details emerge. Using $40 level as support and the approaching 200-ma.

Big Opportunity In JPMorganChase (JPM)

A couple of key points I wish to review today are the yield curve and the Barrons' Report this weekend on bank stocks.

As for the yield curve, more specifically the spread on the 10 year/2 year note is at 2.80% as of today (chart is of Friday). The Treasury yield curve, a barometer of the health of the U.S. economy, widened to a record as investors bet an accelerating recovery will fuel inflation and hurt demand for unprecedented sales of government debt. >>READ FULL STORY

The next story is from a Barrons' Report this weekend pointing out that 4 banks stocks offer huge opportunity. One of Itz Pix has been JPMorgan Chase (JPM).It may have the clearest path to higher profits, the strongest management and one of the industry's best business mixes. JPM trades at 1.6 times tangible book, JPMorgan controls about a third of the American deposit. Price-to-tangible book is a conservative valuation measure because the book value excludes goodwill from acquisitions and other intangible assets. Banks look even cheaper, based on stated book, which includes goodwill and other intangibles. JPMorgan trades for little more than its stated book value of $39 a share.
>>READ FULL STORY

JPM Update

Banks traded higher after Goldman Sachs said that JPM, BAC & C and others US financials should avoid a major hit because they have a lot less direct exposure to Dubai than their European counter-parts. ~read~

I've posted several charts and suggested entry level for JPM over the last few weeks. ~read~

Even banking analyst, Dick Bove chimmed in today on CNBC.

BUY JPMorgan Chase (JPM)

JP Morgan Chase is very attractive here on the technicals. BUY around $42 set a tight stop $40.
On Nov. 24th Mad Money, Cramer stated (see video clip below) that~ "JP Morgan is the 'cheapest' bank stock on earth!!"
*click chart to expand image

JP MORGAN (JPM) Update

This latest leg of the bull run has since the absence of the financial sector. If, the Dow is to rally to 12,000 it needs the financials to participate and the 'Best of Breed' in the banking sector for me is JP Morgan Chase (JPM). That said, as Meredith Whitney noted yesterday, she is more bearish on financials than ever before...yet to counter that John Paulson is loading up on Citibank? You decide who is correct! Here's a recent post I made ~link~

Watch the 100-ema/ retracement level $41!!!

JP MORGAN (JPM) WATCH $41 Level

Keep an eye on $41/$42 levels, watch for Sell Volume to spike to previous level (50/60M). I believe that buyers will step in as the support/200-ma levels are tested, JPM is 'Best of Breed' with '09 eps pf $2.10 & '10Est of $3.40 I see pe expansion, price objective in 12 months $65.
*click charts to expand images

Stick With Best Of Breed

JPMorgan (JPM) is primed and set to climb higher, just having bouncing of it's 80ma. Note the Inverse Head & Shoulders Pattern....the $42/$43 provided a short term support.

JP MORGAN (JPM) WATCH $41 Level

*click chart to expand image

Will JPM Knock the Cover Off the Ball?

JP Morgan reports Thursday, will they knock the cover off the ball? Earnings estimates

*click on chart to expand image

JP Morgan [JPM]

JPM looks like it is gravitating towards its 200ma as its set to report earnings on 7/16