I really like the look of PayPal (NASDAQ:PYPL) here on the short-term charts. The stock made a strong move since October and looks to be consolidating to make a punch through the previous swing highs.
PYPL daily chart
When I get down to the 60-minute time frame there is a nice consolidation pattern developed by a tight trading range.
PYPL hourly chart
It’s a nice risk-reward setup here. Hourly closes below $107 and I’m out of the trade. My target would be a break of the swing high around $111.67.
Holiday trading
Volume will be light so look for mean reversion trades as well as stocks to continue in their current trends. Basically, any meaningful dips can be bought for a quick trade. Just don’t be greedy.
