PayPal (PYPL) stock has suffered a serious decline since July. The shares have shown a little stability in late February and early March and a Real Money subscriber asked us whether the worst is behind us.
Let's check the charts and indicators.
In this daily bar chart of PYPL, below, we can see how the shares were crushed month after month. A big downside price gap on very heavy volume was not enough to wash out traders and prices sank still further. Prices made a low in late February and a retest of the low in early March.
The On-Balance-Volume (OBV) line made a low in late February and now shows a little improvement as buyers show a little aggressiveness. The Moving Average Convergence Divergence (MACD) oscillator crossed to the upside in late February for a cover shorts buy signal. Now the oscillator is just below the zero line and could soon cross above it for an outright buy signal.