Breeding for a color trait you want isn't ethically wrong, its your decision.

Sure there are some that will cry "no no no", but then there are others like myself who would support it! I myself would try to bring more red into a line of Jacksons if I had the Chams to do it. I understand if it were a species of Cham that is rare to try and keep them true until there are enough of them around. Jacksons are a common species(no shortage) that can be found anywhere they are allowed, so seeing someone working a color line of something new would be exciting!!! Its been done with many other reptiles in the past, so whats the differance? Heck, you could give it a cool name

"Mad Jacks, Fire Balls, Etc." Bringing morphs into the reptile world is what has established the reptile craze you see today. People want more then just what everyone else has or the norm!!! A new color line/morph, would bring more enthusiests into the Cham world... Anyone who has been involved with reptiles over the years can agree with that! Bearded Dragons, Leopard Geckos, Ball Pythons, Columbian Boas, King and Milk Snakes, Etc... Most reptile shows offer more of those animals then Chameleons. Why, because of the color/morph varieties! Those breeders have raised the bar on whats available and started a huge following, as well as bringing in new owners in all the time. So if someone asked is it ethical to try and breed a color/morph into a Cham, it would only be considerd unethical to some. Its one of those those things where you have to pick a side!
Besides, its gonna get that way eventually. As more people breed Chams and offer the same green lizards or local speciality, the prices and popularity will drop. People wanna see something new, looking around a seeing the same thing over and over(green jackson, green veild with some blue/orange, red bar ambilobie, blue bar ambilobie, blue nosey, etc.), will get old. Though panthers do have many variations in each local, most look similar. When there is a huge abundance of a reptile and its cheap, people look past it. And they will become cheap because people will lower their prices to beat the other guys prices. Then the price wars begin... (Some will hold out and raise the Chams waiting for a buyer of a higher price, and some of those holders will sell cheap eventually because they cant keep the animals anymore, due to room, cost, etc.). The people who wont look past them will be the people looking for a cheap pet to put in a cheap cage for their 7 year old. Look what has happened to iguana's, normal leopard geckos, normal beardeds, normal snakes and such, they are considerd a disposable pet. Sad, but true!
Sorry, I think I got into a rant.... Just speaking my mind!