JPMorgan Chase (JPM) Options Signal Bullish Breakout Potential: Focus on $320 Call Wall and Strategic Entry Zones

• JPM is trading at $318.81, up 0.45% with a short-term bullish Kline pattern and MACD crossing above the signal line.
• Options data shows heavy call open interest at $320 (2,952 contracts) and $330 (2,716) for Friday expiration, while next Friday’s $360 call (7,311 OI) hints at aggressive bullish bets.
• Recent news about 2026 expense hikes and Todd Combs’ hiring creates a mixed narrative, but technicals and options flow still favor a near-term upside push.

The options market is whispering a breakout story. With JPM hovering near its 30-day moving average ($308.96) and trading above the 200-day line ($280.46), the charts scream long-term bullish momentum. But today’s options activity adds a sharper edge: a wall of calls at $320 and a gaping put/call ratio of 1.02 suggest traders are hedging for volatility while leaning into upside potential.The Options Imbalance: A Bullish Battle Plan

Let’s start with the numbers. This Friday’s $320 call (JPM20251219C320) has 2,952 open contracts—the highest of any OTM strike. That’s not just noise; it’s a price level where major players are likely locking in profits or testing resistance. Meanwhile, next Friday’s $360 call (JPM20251219C360) has 7,311 OI, a staggering figure for a strike 13% above current price. Why? Because big money is betting on a sharp move, possibly driven by Todd Combs’ strategic impact or a rebound in investment banking fees.

But don’t ignore the puts. The $300 put (JPM20251219P300) has 2,160 OI, and next Friday’s $265 put (JPM20251219P265) has 5,075 OI. This isn’t a one-sided story—there’s a clear risk of a pullback if earnings or guidance disappoint. The balanced put/call ratio (1.02) means the market isn’t leaning hard in either direction… yet.

News vs. Charts: A Tug-of-War for JPM’s Future

The recent headlines are a mixed bag. Marianne Lake’s $105B expense warning could pressure margins, but Todd Combs’ arrival and the ADGM expansion signal long-term confidence. Here’s the kicker: the options market isn’t pricing in a collapse. The heavy call buying suggests traders expect the stock to outperform despite near-term costs. Think of it like a boxer: the opponent (expenses) has a strong jab, but the fighter (JPM) has a history of absorbing punches and coming back stronger.

Actionable Trade Ideas: Calls, Puts, and Precision Entries

For options traders, the most compelling setup is the JPM20251219C320 call. With the stock trading at $318.81, this strike is just $1.19 out of the money. If JPM breaks above its intraday high of $320.27, this option could explode in value. For a conservative play, consider a put spread using the $310 and $300 strikes (JPM20251219P310 and JPM20251219P300) to hedge against a drop below key support levels.

Stock buyers should focus on entry near $309.20, the 30-day support zone. If JPM holds above $309.65, target a move toward $320.27 (current intraday high) with a stop-loss below $316.60. The RSI at 65.4 suggests the rally isn’t overbought yet, giving bulls room to run.

Volatility on the Horizon: Balancing Risk and Reward

JPM’s story isn’t all sunshine. The expense overhang and weak Q4 banking fees could drag the stock lower if earnings miss. But the options data—and Todd Combs’ strategic moves—hint at a resilient bull case. The key is timing: if the stock breaks $320 cleanly, the $360 call (JPM20251219C360) becomes a moonshot. If it stumbles, the $300 put (JPM20251219P300) offers downside protection. Either way, the market is pricing in a volatile December. Your job? Ride the wave with discipline.