WYNN runs into sellers again around 150.74
Wynn Resorts Limited (WYNN) Technical Analysis Report for Jan 15, 2020 | by Techniquant Editorial Team
WYNN ended Wednesday at 150.02 edging lower $0.01 (-0.01%), slightly underperforming the Nasdaq 100 (0.02%). Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (WYNN as at Jan 15, 2020):
Wednesday's trading range has been $1.66 (1.11%), that's below the last trading month's daily average range of $2.84. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for WYNN.
One bullish candlestick pattern matches today's price action, the Tweezer Top.
Prices are trading close to the key technical support level at 148.00 (S1). After having been unable to move above 150.74 in the previous session, Wynn Resorts ran into sellers again around the same price level today, failing to move higher than 150.74. The last time this happened on Monday, WYNN actually gained 1.92% on the following trading day.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day while might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 141.60.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
2019's high at 151.50 is within reach and we might see further upside momentum should the share manage to break out beyond.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Wynn Resorts. Out of 537 times, WYNN closed higher 53.07% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 52.70% with an average market move of 0.63%.