Square seems to be going in circles. The payments stock has fallen nearly 25% in the past six months even as PayPal, Mastercard and Visa have rallied, and JC O’Hara, chief market technician at MKM Partners, said Square’s charts aren’t pointing to anything positive.
“Right now, it doesn’t look too good. When you look at the chart of Square, it’s much different than the other names … Visa, Mastercard [are] in strong uptrends. Square, however, couldn’t get above $80. It tested it twice,” O’Hara said Thursday on CNBC’s “Trading Nation.”
PayPal, Visa and Mastercard have outperformed the broader market so far this year, rising 27%, 35% and 47%, respectively. Square has only seen a 3% rise this year, and O’Hara said it’s possible it sinks back down to levels not seen since its December lows.