JPMorgan Urges Trimming Stocks Before September as S&P 500 Faces 7,909 Resistance
Updated
Updated · Business Insider · Aug 24
JPMorgan Urges Trimming Stocks Before September as S&P 500 Faces 7,909 Resistance
3 articles · Updated · Business Insider · Aug 24
Summary
JPMorgan told investors to consider cutting long exposure heading into early September, saying technical warnings are building even with the S&P 500 still near records and above support at 7,521 to 7,620.
Hunter said the benchmark remains below a key 7,909-to-7,935 resistance band, while chip stocks, hyperscalers and software are also stalling under important levels that could signal a broader AI-led pullback.
Seasonality adds to the caution: from August to October, the S&P 500 has averaged a 0.02% loss since 1928, and down years in that stretch have seen average corrections of 7.35%.
Midterm-year patterns are also weak, with Goldman Sachs saying the S&P 500 has posted a median 0% return from Aug. 1 to Election Day in all midterm years since 1974.
JPMorgan still kept a bullish longer-term stance and recently raised its year-end S&P 500 target to 8,000, but said investors should use stop-losses now and trim further if current conditions persist.