Look for some profit-taking in the digital wallet stocks.
PayPal Holdings, Inc. (NASDAQ:PYPL) has been trending higher, but that trend is in jeopardy.
When stocks are in uptrends, the bulls are in control. If they're trending lower, the bears are in charge. A reversal day pattern is a graphical illustration on a chart of a change in leadership.
On Wednesday, PayPal formed a reversal day pattern. This could mean a new downtrend is about to form.
See Also: Best Cryptocurrency Wallets
Shift4 Payments, Inc. (NYSE:FOUR) broke an uptrend line Wednesday. The bears may be about to drive the stock price lower.
The break of an uptrend line is a different graphical illustration that shows the leadership is changing from the bulls to the bears.
Square, Inc. (NYSE:SQ) hit resistance at the $275 level.
Resistance is a large number of sellers trying to sell their stocks at the same price level. There is more than enough supply to satisfy the demand and then some.
After hitting the $275 resistance level in February, shares of Square trended lower. There is a good chance it happens again.
