Thursday Jan 12, 2012
I considered adding WYNN to my list of contrarian investments of GM and RIG. But frankly it failed the balance sheet test. However, I note that WYNN is featured as one of the Good News stocks in todays' WSJ. I was thinking of mentioning it at the price of 100, really I was, it is now 111.
WSJ notes that November gambling revenue was up 9% on the Vegas Strip. Well, as I have observed before on this blog, the optimism reflected in buying an airline ticket, renting a room at
WYNN, and apparently thinking you might win at the tables, well that is positive social mood. go ahead, click on the huyperlink to Wynn's, if you have not been there it is something to see.
So I am not recommending this for purchase. Money is still flowing out not into the stock but it is right back where it took off a year ago. Breaking above the MAs here would be a very positive sign of social mood, which is what I expect to accompany the forthcoming market top.
And Steve Wynn is one savy businessman.
Oh, one more thing, see page C4 of today's WSJ. Now there are one week options, puts and calls. Gee as if the deterioration in monthly optons was not enough. ONe expert says they are ideal for 'playings a quick event.' Well the event is more likely to separate you from your risk money in my opinion but the point here is that creation of such an instrument is a positive social event in that it represents an attitude towards risk taking. We did not see such articles Oct 4, 2011!
As the last sentence notes in the article, 'weekly options tend to lose value rather quickly'
now there is an understatement......
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