JPMorgan reported third-quarter earnings. Goldman Sachs reported third-quarter earnings. Wells Fargo reported third-quarter earnings. Citigroup reported third-quarter earnings. The results were mixed. Mixed means some numbers went up and some numbers went down, which is exactly what happens every single quarter at every single bank since the invention of quarterly earnings.
Somewhere right now a guy named Derek is staring at a JPMorgan chart with seventeen Fibonacci retracements drawn on it. Derek thinks Tuesday's earnings report gave him an edge. Derek does not know that JPMorgan has 293,000 employees and $3.9 trillion in assets and exactly zero of those employees give a f*ck about Derek's edge. Derek will buy calls on Wednesday. Derek will lose money on Thursday. This is Derek's process.
The earnings were mixed. That word again. Mixed. Like a salad. Like a bag of nuts. Like the emotional state of every person who trades bank stocks based on quarterly earnings and then watches the price do whatever it was going to do anyway because the algos already priced it in forty milliseconds after the release.
Four banks printed numbers on Tuesday. The numbers were different from last quarter's numbers. Next quarter they will print different numbers again. Retail traders will read the headlines. Retail traders will consult their indicators. Retail traders will make decisions based on information that high-frequency trading firms already processed, traded on, and forgot about before a human eye could finish reading the first sentence.
But sure, the mixed results definitely matter for your three-share position in Goldman.
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