BORN TO RUN
"Together we could break this trap... We'll run till we drop, baby we'll never go back..."
-Born to Run, Bruce Springsteen
In the 1975 American classic 'Born to Run', Bruce Springsteen sings of kindred spirits longing to escape their shackles and "get to that place (they) really want to go."
Some 40+ years later, we are seeing another pair of kindred spirits trying to break out from a malaise of technical mediocrity in search of their collective potential. Only differences are, this pair isn't American or beleaguered vagabonds; rather, WYNN and LVS are the manifestation of Asia's growing economic and geopolitical influence combined with a love of risk-taking.
The pair of gaming companies have experienced tremendous growth over the course of the past decade - especially WYNN - but neither have fully recovered from the slide in Asian stocks in 2015. That may be about to change.
Looking at the long-term chart of WYNN (1 week intervals dating back to '09), we can see that it's recovered roughly half of its loss:
However, its recent history (this is a daily interval chart) shows a prolonged lateral move inside a $130-$150 range:
LVS has displayed strikingly similar technical patterns:
What's technically intriguing about these charts are the most recent break-outs coming on the heels of a consolidation, sustained periods above support levels and positive moving averages.
However, it should be noted that geopolitical tensions in the East remain high and China is still facing develeraging concerns; so some form of put protection might not be the worst idea for what otherwise appear to be bullish opportunities.
"Together we could break this trap... We'll run till we drop, baby we'll never go back..."
-Born to Run, Bruce Springsteen
In the 1975 American classic 'Born to Run', Bruce Springsteen sings of kindred spirits longing to escape their shackles and "get to that place (they) really want to go."
Some 40+ years later, we are seeing another pair of kindred spirits trying to break out from a malaise of technical mediocrity in search of their collective potential. Only differences are, this pair isn't American or beleaguered vagabonds; rather, WYNN and LVS are the manifestation of Asia's growing economic and geopolitical influence combined with a love of risk-taking.
The pair of gaming companies have experienced tremendous growth over the course of the past decade - especially WYNN - but neither have fully recovered from the slide in Asian stocks in 2015. That may be about to change.
Looking at the long-term chart of WYNN (1 week intervals dating back to '09), we can see that it's recovered roughly half of its loss:
However, its recent history (this is a daily interval chart) shows a prolonged lateral move inside a $130-$150 range:
LVS has displayed strikingly similar technical patterns:
What's technically intriguing about these charts are the most recent break-outs coming on the heels of a consolidation, sustained periods above support levels and positive moving averages.
However, it should be noted that geopolitical tensions in the East remain high and China is still facing develeraging concerns; so some form of put protection might not be the worst idea for what otherwise appear to be bullish opportunities.
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