PayPal Holdings ( PYPL) is anticipated to report their latest earning's numbers after the close of trading today. We looked at PYPL back on October 21 where we wrote that "PYPL absorbed a lot of selling Wednesday but it closed off its lows and is indicated to open steady on Thursday. As long as the support in the $255-$250 area holds I remain bullish on PYPL." Unfortunately we found that support gave way and prices sank lower. 
With earnings out after the close today (Monday) let's check on the charts once again.
In this updated daily bar chart of PYPL, below, we can see that prices have been weak since late July. There is a small hint that some buying interest (support) is materializing in the $230-$220 area but prices are still trading below the declining 50-day and 200-day moving averages. A bearish dead or death cross of these two averages is visible. Trading volume has been heavy since the middle of October telling us that traders are voting with their feet.
The On-Balance-Volume (OBV) line has been in a decline and that tells us that sellers of PYPL have been more aggressive with heavier volume being transacted on days when prices have closed lower.
The Moving Average Convergence Divergence (MACD) oscillator is below the zero line but it has narrowed and could signal a cover shorts buy signal soon.
In this weekly Japanese candlestick chart of PYPL, below, we can see that prices are below the 40-week moving average line. The string of red candles is not encouraging and suggests support around $225 could give way.
The weekly OBV line is pointed lower. The MACD oscillator is crossing the zero line for an outright sell signal.
In this daily Point and Figure chart of PYPL, below, we can see that the software is projecting a potential downside price target in the $209 area.
Bottom line strategy: PYPL could bounce after they report their numbers but the charts and indicators do not suggest that PYPL will quickly resume its longer-term uptrend. I would avoid the long side of PYPL for now.
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