PYPL - What to expect from Paypal ?Rough day huh? NASDAQ:PYPL
This sentence probably struck the mind of most paypal investors and the majority of wall street several times in the last few weeks.
Many have not expected that the paypal stock would continue to fall after the horror crash of February 2, also the speed of the sell-off has caught many off guard. In addition, the military invasion of Russia in Ukraine came out of nowhere for most people.
Overall, we as Mendenmein Capital and our subscribers can look back on turbulent weeks. The forecast in our last analysis clearly came true and after our warning on February 4, the stock dropped another -23%. At the moment, everything proceeds according to our plan and our elliot wave count is still valid.
See our past update on paypal in which we warned about this harsh correction!
Technical explanation of the Elliot Wave structure:
The main picture of our analysis indicates that we continue to believe that paypal is in an impulsive C wave. Within this C wave we have formed several impulses and are now in the orange wave (v).
Within the orange wave (v), the purple impulse defines the downward trend and we estimate that the purple wave (iii) is now completed. Currently, we expect a small recovery in the purple wave (iv) , which can bring us to the range of $113.78-$125.71 . Last but not least we expect another final sell-off in the purple wave (v) to the $90 to $60 range . This purple wave (v) should start soon and bring the price at least below the last low at $94.5.
The blue box represents our estimated correction target, we are sure that paypal will be ready to start a big reversal after the completion of the C wave.
The chart below shows the complete count of paypal since its listing, we want to show investors that the large cycle wave (II) will be over soon.
We want to offer investors who are familiar with the elliot wave theory the highest possible value. New investors however, shouldn’t be scared off by the complexity of our elliot wave count.
We want to show the massive opportunities that can await investors in the upcoming years. We are extremely optimistic about the future of paypal, we expect that paypal can reach a price target of 560$ in the coming 3 to 5 years.
This price target is calculated based on the elliot wave theory and represents the minimum target of the next cycle wave (III). Until then, paypal still has a stony path ahead and the coming days will show if we are able to break below the $94 level.
If the chart pictures or the described explanations should be unclear you can use the comment function for questions.
We will keep our subscribers informed about upcoming events and articles, feel free to visit our website!
www.mendenmein-capital.com
Disclaimer:
According to legal regulations, Mendenmein-Capital is not a certified or legally recognized financial advisor and any transactions based on published content are at your own risk.
Mendenmein-Capital cannot be held liable for any losses whatsoever according to the legal regulations in it's country of residence.
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