American Express (AXP) Riding Trend Channel Higher
Over the last eight months, American Express (NYSE: AXP) has been trending higher with a trend channel defining the peaks and valleys. The stock just hit the lower rail of the channel and it looks like it is ready for another move to the upside in the coming weeks.
We see that in addition to the stock hitting the lower rail it was also oversold based on the 10-day RSI and the daily stochastic readings. The last time we saw both oscillators in oversold territory and the stock hit the lower rail of the channel was in late June.
The stock was trading around $96 at the time and it went on to rally to a high of $103.87 on July 27. That is a move of approximately 8% in just over a month.
In addition to the technical picture, American Express has great fundamentals. The company has a return on equity of 27.6%, a profit margin of 20.9%, and an operating margin of 24.7%. The company has also been able to grow its earnings at an average rate of 22% per year over the last three years.
American Express is set to release third quarter earnings results on Thursday, October 18 and analysts expect the company to earn $1.76 per share on revenue of $10.04 billion.
AXP's RSI Oscillator climbs out of oversold territory
The RSI Oscillator for AXP moved out of oversold territory on October 13, 2025. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 22 similar instances when the indicator left oversold territory. In of the 22 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 17, 2025. You may want to consider a long position or call options on AXP as a result. In of 82 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for AXP just turned positive on October 17, 2025. Looking at past instances where AXP's MACD turned positive, the stock continued to rise in of 49 cases over the following month. The odds of a continued upward trend are .
AXP moved above its 50-day moving average on October 17, 2025 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AXP advanced for three days, in of 343 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 276 cases where AXP Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AXP declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
AXP broke above its upper Bollinger Band on October 17, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 72, placing this stock better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. AXP’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.541) is normal, around the industry mean (13.136). P/E Ratio (23.837) is within average values for comparable stocks, (36.061). Projected Growth (PEG Ratio) (2.066) is also within normal values, averaging (1.408). AXP has a moderately low Dividend Yield (0.009) as compared to the industry average of (0.039). P/S Ratio (3.525) is also within normal values, averaging (130.500).
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General Information
a financial conglomerate
Industry SavingsBanks
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