Wynn Daily - Short - Medium Term Bearish
Although a rather simple setup, I find this appealing nonetheless. Here are some key takeaways going into tomorrow's open.
- We appear to be forming a bear pennant. Note the two wicks to the upside that ended in the Daily candle closing down. It appears that Shorts are prominent along this upper resistance. The volume also appears to be in confluence with the selloff as well.
- We do have a minor Support level around $52 that goes back to 2008 - 2009 and 2015. We also have additional Support at approximately $42 from 2008 - 2009.
- The RSI is forming a Hidden Bearish Divergence. Look for the RSI to top off here and begin to trend downwards.
- I expect price action to somewhat resemble the squiggly lines I have drawn out. I expect a test towards the bottom of our bear pennant between $54 - $56. From there, I see two scenarios playing out. The first would result in a bounce back to the upper end of the bear pennant, but I would still favor a breakdown after the small bounce.The second would result in a breakdown towards my noted Support levels.
- Given that the Futures are already down and that Hospitality has been taking a beating during COVID-19. I hold a bearish stance on
WYNN overall.
- This idea IS INVALID if price were to break above the bear pennant and hold it upon a retest.
- We appear to be forming a bear pennant. Note the two wicks to the upside that ended in the Daily candle closing down. It appears that Shorts are prominent along this upper resistance. The volume also appears to be in confluence with the selloff as well.
- We do have a minor Support level around $52 that goes back to 2008 - 2009 and 2015. We also have additional Support at approximately $42 from 2008 - 2009.
- The RSI is forming a Hidden Bearish Divergence. Look for the RSI to top off here and begin to trend downwards.
- I expect price action to somewhat resemble the squiggly lines I have drawn out. I expect a test towards the bottom of our bear pennant between $54 - $56. From there, I see two scenarios playing out. The first would result in a bounce back to the upper end of the bear pennant, but I would still favor a breakdown after the small bounce.The second would result in a breakdown towards my noted Support levels.
- Given that the Futures are already down and that Hospitality has been taking a beating during COVID-19. I hold a bearish stance on
WYNN overall. - This idea IS INVALID if price were to break above the bear pennant and hold it upon a retest.
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