Chart of the day

PayPal has finished the long-term five waves down and is testing the falling wedge support 56. A bounce from here will lead to a test of 70 for the confirmation of the long-term downside waves.

This is viewed as the finish of the long-term wave cycle. If we get a confirmed break above 72 that would confirm that the five downside waves are finished and we should be in a reversal higher cycle.

Long trades you can open here with a stop loss below 53. We favor the long trade entries at this stage as we see strong support after the long-term five waves down and a falling wedge that indicates a bullish price action reversal. You can trade with the call options as well.