Head & Shoulders Pattern Spotted in PayPal Holdings Inc.
A Head & Shoulders (H&S) pattern has been identified in PayPal Holdings Inc. (PYPL), but unlike the traditional bearish reversal setup, this could be an inverse Head & Shoulders, signaling a potential bullish turnaround.
Key Observations:
1. Left Shoulder – A decline followed by a rebound.
2. Head – A deeper low, then a recovery.
3. Right Shoulder – A higher low, suggesting weakening selling pressure.
4. Neckline Break – A decisive close above the resistance (neckline) confirms the bullish reversal.
Price Projections:
- Support at $55 – This level has held strong, acting as a critical demand zone. A bounce from here could fuel the next rally.
- Upside Target at $93 – A successful breakout above the neckline could propel PYPL toward $93, representing a ~40% upside from current levels.
Why This Matters for Traders:
- Bullish Momentum – The pattern suggests that sellers are exhausted, and buyers are stepping in.
- Volume Confirmation – Increasing volume on the breakout would strengthen the bullish case.
- Market Sentiment Shift – If PayPal sustains above key resistance, it could attract institutional interest.
Trading Strategy:
- Stop Loss – Below $55 for risk management.
- Target – $93, with interim resistance near $75 and $85.
Final Thoughts:
While technical patterns are not foolproof, the inverse H&S in PYPL suggests a potential trend reversal. If the breakout holds, $93 could be the next major target, making PayPal an interesting watch for swing traders and investors.
A Head & Shoulders (H&S) pattern has been identified in PayPal Holdings Inc. (PYPL), but unlike the traditional bearish reversal setup, this could be an inverse Head & Shoulders, signaling a potential bullish turnaround.
Key Observations:
1. Left Shoulder – A decline followed by a rebound.
2. Head – A deeper low, then a recovery.
3. Right Shoulder – A higher low, suggesting weakening selling pressure.
4. Neckline Break – A decisive close above the resistance (neckline) confirms the bullish reversal.
Price Projections:
- Support at $55 – This level has held strong, acting as a critical demand zone. A bounce from here could fuel the next rally.
- Upside Target at $93 – A successful breakout above the neckline could propel PYPL toward $93, representing a ~40% upside from current levels.
Why This Matters for Traders:
- Bullish Momentum – The pattern suggests that sellers are exhausted, and buyers are stepping in.
- Volume Confirmation – Increasing volume on the breakout would strengthen the bullish case.
- Market Sentiment Shift – If PayPal sustains above key resistance, it could attract institutional interest.
Trading Strategy:
- Stop Loss – Below $55 for risk management.
- Target – $93, with interim resistance near $75 and $85.
Final Thoughts:
While technical patterns are not foolproof, the inverse H&S in PYPL suggests a potential trend reversal. If the breakout holds, $93 could be the next major target, making PayPal an interesting watch for swing traders and investors.
Trade attivo
Nota
Good opportunities to buy now.
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Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.