PayPal rallies - Analysis - 04-08-2022

PayPal Holdings' stock (PYPL) rallied after announcing a new CFO, while asserting investor activists from Elliott Management acquired a stake in the company, while surpassing financial results for the second quarter and providing mixed updates for the whole year directives, with the stock surging 9.25%, or 8.29 points, and settling at 97.92, with trading volumes surpassing 53.7 million shares, above 10-day averages of 19.5 million shares.

The stock managed to test the pivotal resistance of 92.25, amid the dominance of the upward correctional wave in the short term, with positive support from the 50-day SMA, coupled with negative signals from the RSI after reaching overbought levels.

Therefore we expect more gains for the stock, targeting the first resistance at 122.90, provided it holds above 92.25.

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Expected trend for today: Bullish