Wynn Resorts has broken through a major resistance trendline that has been in place since 2014. This breakout, seen on the weekly chart, suggests a potential change for the company, which has historically struggled with this line. In the past, significant rallies in 2018 and 2021 were stopped by this resistance, creating a psychological hurdle for investors. The recent breakthrough may indicate a shift in the company’s fundamentals or market perception, aided by the recovery in Macau and Las Vegas after the pandemic. The new target for the stock is set at $162.64, representing a possible 28% increase. Analysts are watching to see if the stock can hold above this trendline, which would confirm the breakout’s validity. Buying when the stock is between $115 and $120 could provide a good risk-reward opportunity. Traders are advised to set stop-loss orders below the latest swing low and look for support at the previous resistance level. On the flip side, there is a concern about false breakouts, which have happened in the past. If macroeconomic conditions worsen, the stock might drop back. The outcome will depend on whether Wynn can keep its gains in the coming months. The $162.64 level will be critical for determining the future performance of Wynn’s stock. We are witnessing a significant technical shift at Wynn Resorts, which has finally broken its resistance trendline from 2014. This breakout is backed by strong fundamentals; Macau’s Gaming Inspection and Coordination Bureau reported that in November 2025, gross gaming revenue reached MOP 22.5 billion—the highest monthly performance in over five years. This indicates a strong recovery. For those trading derivatives, it’s a good time to consider bullish positions, especially on minor pullbacks. Buying call options, particularly with February or March 2026 expiration dates, on dips towards the new support area of $115-$120, provides a favorable risk-reward setup. This approach allows participation in potential gains while clearly defining the maximum loss. The next major target is the $162.64 resistance level, which previously halted rallies in 2018 and 2021. This move seems possible due to ongoing strength in Las Vegas. Recent data from the Nevada Gaming Control Board for the third quarter of 2025 shows a 5% year-over-year increase in Strip revenue, indicating positive momentum extends beyond its Asian operations. Implied volatility on WYNN options has risen with the breakout but remains lower than the peaks seen during the market turbulence of 2022. This makes bull call spreads a smart strategy for positioning toward the target. For example, buying a $130 strike call and selling a $160 strike call for March 2026 could reduce entry costs while capturing a significant part of the expected move. The main risk is a “false breakout,” where the price fails to stay above the old resistance line. If the stock drops convincingly below $115, it would negate the bullish outlook. In this case, traders should be ready to exit long call positions or even consider buying puts if the downward trend accelerates.

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