Technical analysis doesn’t try to answer why questions. Fundamentalists are constantly bewildered by price action, especially when it seems to contradict fundamental news. Technicians simply don’t care. The stock market looks ahead and therefore price action precedes news. That’s why it’s important to look at how the market reacts to news, not to simply look at the news itself. This past week was a perfect example. JP Morgan Chase (JPM) reported quarterly results that exceeded expectations.