eBay Jumps 3.18% as Technical Indicators Signal Bullish Reversal Momentum

eBay (EBAY) rose 3.18% to close at $93.03 in the most recent session, extending its two-day gain to 3.49% amid a technical rebound from recent lows.
Candlestick Theory
The recent two-day rally forms a bullish reversal pattern following a hammer candle on September 3 (low: $87.95, close: $90.16), which signaled exhaustion of the preceding downtrend. Key resistance is established at the August 20 peak of $100.53, while support converges near the September 3 low of $87.95 and the psychological $90 level. A close above the August 29 high ($93.00) would reinforce near-term bullish momentum.
Moving Average Theory
The 50-day SMA (88.30) has recently crossed above the 100-day SMA (85.10) and 200-day SMA (78.50), confirming a bullish long-term trend structure. The current price ($93.03) trades above all three moving averages, indicating sustained upward momentum. The 50-day SMA has provided dynamic support during pullbacks, most notably during the late-July consolidation, while the ascending 200-day SMA underscores a primary bullish trend.
MACD & KDJ Indicators
The MACD histogram has turned positive after a bullish crossover, with the MACD line (0.75) exceeding the signal line (0.60), suggesting building upside momentum. Concurrently, the KDJ indicator exited oversold territory (K-line: 35 → 65, D-line: 30 → 55) during the two-day rally, though it remains below overbought thresholds. This alignment indicates recovering bullish momentum without immediate exhaustion signals. A minor divergence emerged in late August when price reached $100.53 without corresponding KDJ highs, foreshadowing the subsequent correction.
Bollinger Bands
Bollinger Bands (20-period) contracted sharply during the August 26–September 2 sell-off, reaching a 30-day volatility low before expanding on the recent rebound. Price recently tested the lower band ($87.95) and has since ascended toward the midline ($91.40), with the upper band ($94.85) acting as immediate resistance. The contraction-expansion cycle suggests renewed directional momentum, with a close above the midline supporting further upside bias.
Volume-Price Relationship
Volume surged during the breakdown below $90 on August 26 (10.01M shares) and the July 31 rally (20.28M shares), validating directional conviction. However, the recent rebound saw moderate volume (4.80M shares), diverging from the magnitude of price gains and raising sustainability concerns. A continuation of this rally requires volume expansion above the 20-day average (5.85M shares) to confirm accumulation.
Relative Strength Index (RSI)
The 14-day RSI (46) has rebounded from near-oversold conditions (30 on September 3) but remains below the bullish threshold of 50. This neutral reading suggests balanced momentum, with room for further recovery before testing overbought territory. The RSI’s prior failure to exceed 65 during the August price peak signaled weakening momentum, consistent with the subsequent correction. Current levels do not indicate immediate overextension.
Fibonacci Retracement
Applying Fibonacci levels to the $77.56 (July 30 low)–$100.53 (August 20 high) upswing shows the recent pullback to $90.49 (September 3 low) precisely respected the 38.2% retracement level ($91.75), rebounding strongly. This confluence with the $90 psychological support enhances its technical significance. The 50% retracement ($89.04) now serves as critical downside support, while sustained trading above $91.75 opens a path toward the 23.6% level ($95.10).
Concluding Technical Synopsis
Multiple indicators reflect bullish momentum resumption for eBay, including the MACD crossover, KDJ recovery, Fibonacci-backed bounce, and moving average alignment. Key confluence exists at the $90–$91.75 support zone, reinforced by the 38.2% Fibonacci level. Divergence in volume during the rebound warrants monitoring, as follow-through buying is needed to overcome resistance at $94.85 (Bollinger upper band) and $95.10 (23.6% Fibonacci). The overall technical structure favors continued upside potential, though confirmation requires a volume-backed close above $95.10.