XS Selling for Wynn

After earnings last evening, WYNN looked to be taking another in a long line of poundings, with the stock down 7-8% after hours. CEO Steve Wynn caused a stir by noting that had never seen anything like Macau, where the China government was actually cracking down on gambling. 

Despite that, WYNN is down 2-3% as I write this, with other casinos LVS MGM MPEL flat or green. 

If WYNN rallies to green today, I suspect it would be sellers are exhausted down here, for now, with the stock having imploded since March 2014. 

On the updated monthly chart, below, we can see that once WYNN lost $160, the scene of the 2007 and 2011 highs, the floodgates opened as buyers panicked and sellers were emboldened. 

WYNN then lost 2012 support, roughly $86 on average, opening the door to another swoon down to levels not seen since 2009, which is incredibly considering the stock had made fresh all-time highs in early-2014. 

At the moment, if WYNN reverses to green I would expect it to retrace up to that $86 area by the holidays, if only as a respite to poor Mr. Wynn, who now may have to downgrade from living in a villa on his property to a Salon Suite.