HaiKhuu Daily Trading Report

Good morning, and happy Tuesday! Markets are in an extremely interesting spot, and I hope that you all are ready for what should be a confusing time. Markets are down at the time of writing this report, and this should be an interesting time to see how the markets all react from here. Please continue to tread lightly on these market conditions, but look out for the opportunities that are presented to us.

I expect a difficult time attempting to capitalize on these opportunities, but it is just a matter of consistently realizing gains when given an opportunity to do so. Be careful with these conditions. I am expecting to see a significant chop in the markets today and many losses to be generated, so please practice safe risk management and do what you can to maximize your profit potential.

This should be an alright day, but let’s prepare accordingly and do what we can to maximize the opportunities available to us!

Good luck trading, and let’s see what $SPY has in store for us!

The updated $SPY daily levels are as follows:
Conversion Line Support: $525.72
Baseline Support: $5 16.31
Psychological Support: $500
Daily Cloud Support: $525.72

Thoughts & Comments from Yesterday, 06/03/2024

Yesterday was a tough day for the overall markets. There was a significant amount of bearish momentum but I watched as there was a beautiful recovery. Conditions were not absolutely perfect, and unfortunately, many had a difficult time. Interestingly enough, we also watched as the NYSE glitched, where $BRK/A was trading at $185 a share, and many other organizations marked extremely incorrectly.

We started the day with $SPY trading at $529.01 and watched as there was a slight bullish movement in the markets as $SPY quickly moved up to make the official high of the day, trading at $529.31 before starting to come down. Conditions were not ideal as we quickly started to slip, and the selling just continued to snowball throughout the rest of the morning. Within the first two hours of the day, $SPY had already dropped roughly $3, and there was no sign of stopping.

The markets did slow down during the lunchtime lull, as there was not much active participation, but as volume started to come back into the markets, we watched as $SPY continued to drop, going on to officially make the low of the day trading at $522.60. Conditions were not great as $SPY dropped roughly $7 from the top, but thankfully, we did see some strong bullish momentum in the final hours of the trading day.

After making the official low, $SPY did recover slowly but extremely consistently, where $SPY recovered $5 into close, where we ended the day with $SPY trading at $527.80, up $0.43 from the previous close on Friday, or up 0.08%. It was a rougher day to attempt to trade, but opportunities were consistently presented to us throughout the time. Hopefully, you all were able to come out of yesterday unscathed, and are able to capitalize on the opportunities presented to us. It was difficult to realize gains consistently, but it provided us with an amazing opportunity to trade in the process. Life moves on, and so do the markets. Hopefully, today is a better day with better opportunities available to us.

Thoughts & Comments for Today, 06/04/2024

Today is going to be a tougher day to gauge during the pre-market session. There is a lot of conflicting sentiment in the markets and a significant amount of confusion. With the way that the markets sit, there is a significant amount of underlying strength in these current conditions, but we are displaying short-term weakness from many equities. $NVDA is continuing to display strength, but this is one of the few organizations that are holding up the markets at this point. This is a reminder that $NVDA’s stock split is happening this Friday, and I believe that with a mixture of sentiments, $NVDA will continue to see consistent inflow into the markets as a result. I would not advise attempting to purchase now, but if you are holding your $NVDA position, I do not advise attempting to sell. There is a significant amount of volatility that will be driven by $NVDA’s movement, and realistically, we can watch as it moves heavily in either direction, mostly post-split. So prepare the dice roll if you are in $NVDA, and hope that it is in your favor.

One thing I am genuinely concerned about right now is the general placement of the markets making it extremely difficult for the large majority of traders to attempt to allocate with confidence. I feel that the underlying sentiment for the majority of traders is that they are comfortable holding long equities in their portfolio as they should be but are not as confident in allocating more in these market conditions as many organizations are heavily overpriced, while at the same time, are not comfortable actively trading due to the inconsistencies in the markets. I know this is my sentiment, at least, and I can assure you that many other traders feel the exact same way now. If people are not actively purchasing, this does concern me, but at least we know that there is extremely consistent inflow coming into the markets with new traders funding their accounts and allocating into the markets. The only issue is what is the difference between the capital utilization that is lost here in the short term versus the inflow from the new traders. I highly doubt that the inflow outweighs the previous capital, but know that once inflow is consistent, and market conditions are at a point where we are seeing both comfort and confidence in the markets, that $SPY will continue to make NEW all-time highs. It now is just a matter of getting to that point of both comfort and confidence.

Please continue to practice safe risk management in these conditions. Many traders will have a genuinely difficult time attempting to realize gains but will be presented with consistent opportunities to realize losses. Be smart, be safe, and realize gains where you can.

For my allocations today, my sentiment continues to remain as previously stated. I am not comfortable or confident in the movement in the markets right now, so I am going to be more hesitant about attempting to allocate in these conditions for risk management purposes. I will look to scalp and trade when given an opportunity to do so, but it is just a matter of remaining extremely consistent to provide us not only with a sense of comfort but also a sense of confidence. I want the markets to move up accordingly, but it is only just a matter of time until we see larger weakness in the markets. I will continue to hold my long positions and continue to watch for more long-entry opportunities.

If I see any opportunities, or if I decide to get into any other plays, I’ll announce what I see in the HaiKhuu Discord.

My Personal Watchlist:

Note, just because something is on my watchlist does not mean it is a signal to buy or sell any equities

Watchlist:
$SPY, $GME, $AMC, $TSLA, $RIVN, $NVDA, $INTC

LONG OPPORTUNITIES:

Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $BA
Confirmed Re-entry - $RIVN, $ULTA, $LULU

Economic News for 06/04/2024

Redbook - 8:45 AM
JOLTS Job Openings - 10:00 AM
Durable Goods - 10:00 AM

Notable Earnings for 06/04/2024

Pre-Market Earnings:

Bath & Body Works (BBWI)
Ferguson (FERG)
Core & Main (CNM)
Donaldson Company (DCI)
Designer Brands (DBI)

After-Market Earnings:

CrowdStrike (CRWD)
Hewlett Packard Enterprise (HPE)
PVH Corp (PVH)
Guidewire Software (GWRE)
Stitch Fix (SFIX)
Sportsman's Warehouse (SPWH)
THOR Industries (THO)
Verint Systems (VRNT)

Wrap up

Hopefully, market conditions will get better today, and we actually see some bullish movement in the markets, but with the way the markets sit right now, please make sure to tread lightly and practice safe risk management in the process. This should be another interesting time for the markets, now the question is do we break out, or finally sell off.

Good luck trading, and let’s see where the markets take us today!

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HaiKhuu Daily Report 06/04/2024