WYNN falls to lowest close since August 7th
Wynn Resorts Limited (WYNN) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, WYNN finished Wednesday at 79.66 losing $2.62 (-3.18%) on high volume, significantly underperforming the Nasdaq 100 (-1.67%). Today's close at 79.66 marks the lowest recorded closing price since August 7th. Closing below Tuesday's low at 80.77, the stock confirmed its breakout through the previous session low after trading up to $3.45 below it intraday.
Daily Candlestick Chart (WYNN as at Sep 16, 2020):
Wednesday's trading range has been $3.97 (4.89%), that's slightly above the last trading month's daily average range of $3.72. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for WYNN.
Prices are trading close to the key technical support level at 77.09 (S1). The market closed below the 50-day moving average at 80.80 for the first time since August 7th. When this moving average was crossed below the last time on July 17th, WYNN lost -3.37% on the following trading day.
Though the share is currently in a short-term downtrend, this could just be a correction, as both the medium and long-term trends are still bullish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Break through SMA 50" stand out. Its common bearish interpretation has been confirmed for Wynn Resorts. Out of 88 times, WYNN closed lower 56.82% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after five trading days, showing a win rate of 48.86% with an average market move of -0.40%.