According to Greg Guenther of The Daily Reckoning, Casino stocks are rebounding after a few years of hard times.
The problem, according to the article, is Macau, which has been dragging down casino stocks for the past few years.
Guenther writes, “owning casino stocks over the past couple of years has been a losing bet for investors… But it looks like these orphaned stocks have finally put in a bottom.”
Then Guenther gives a chart and a technical reason to buy: “… the sector has given back nearly all of its gains from its 2012-2013 rally. Now, it appears to be bouncing at support. That gives you the perfect opportunity for a snapback trade.”
Check out the full article at The Daily Reckoning.