JPM is expected to report an EPS of $3.49 on revenue of $39.71bn

Taking a look at JPMorgan ahead of its earnings on Friday. Currently, the bank’s shares are trading at around $170.07 a share. We can see the great rally bulls were riding from the start of November, but it seems now that some profit-taking is taking place ahead of the results. The resistance here is now the level of $173.38, which is the new all-time high that was reached last week. Although, the price did close a little lower. Nevertheless, a continuation of this trend seems rather likely with new highs to be reached, especially if the earnings come in better than expected. However, anything average or below may have a negative effect on JPMorgan in the short term, we can see that the stock is now a little oversold. The price is currently battling with the supportive trendline, $170.50 is the support along the trendline. A close below it today followed by a similar sentiment tomorrow would be a bearish sign going into Friday. Looking at the technical indicators, the MACD has just turned negative and the RSI was oversold for a long duration but has now edged a little lower as it reads 67. The earnings outcome will be the next catalyst for either direction here. JPM is expected to report an EPS of $3.49 on revenue of $39.71bn.