Most of the leading casino stocks are declining at the start of today's trading session despite the mild rally in the U.S. stock market indexes. It seems that the leading casino stocks are following the important Shanghai Composite Index (Chinese stock market index) very closely at this time. Last night, the highly followed Shanghai Composite Index declined lower by 1.62 percent. You see, much of the revenue that the casino operators generate comes from Macau, China. It is safe to say that the Macau region has become the new Las Vegas of the East. Every decline in the Chinese stock market is likely to affect the price action in many of the casino stocks that have a presence in that area.
Some of the leading stocks that operate in the United States and in Macau, China include Wynn Resorts Ltd. (NASDAQ:WYNN), Las Vegas Sands Corp. (NYSE:LVS), Melco Crown Entertainment Limited (NASDAQ:MPEL), and MGM Resorts International (NYSE:MGM). Today, all of these leading casino stocks are trading sharply lower on the session. Traders should watch and follow WYNN stock very closely due to the stock being the leader in the industry group. WYNN stock will have near term daily chart support around the $188.50 level.