HaiKhuu Daily Report - 07/30/2024
Good morning, and happy Tuesday! I hope you all are excited for another fun day for the overall markets. Conditions were mixed yesterday, but markets are looking alright during the pre-market session. The one thing that does concern me is that we are now starting to see the conversion line and baseline split on the daily charts, confirming that we are in the beginning process of getting that confirmation of a reversal from the top. This is a weak signal at the moment, but we are starting to see more weakness show. I hope that this is a fake-out as market conditions are still strong, but tread lightly because the strength needs to inevitably come to an end, and this might be the first of many signals to confirm that.
I do want to say this is NOT a signal to be bearish, but this is a reminder to take your foot off of the gas and protect yourself. Opportunities will be consistently presented to us, but it is more just a matter of how the markets react at this level. Either this is a fake-out, and the markets reverse with strength, or this is a confirmation of a reversal, and we will watch as the markets sell-off. There will be consolidation in the short term until the markets decide on which direction they want to pick, but for now, continue to protect your bottom line and make smart plans today to account for what happens tomorrow, literally and metaphorically.
Just as a reminder, we have MANY major events coming up over the next 72 hours, including earnings from AMD, MSFT, META, BA, AMZN, and AAPL, and the uncontested largest event this week, FOMC on Wednesday, with Jerome Powell speaking afterward. Prepare accordingly. Practice risk management, and let’s have some fun in this volatility.
Good luck trading because the next couple of days will be interesting!
The updated $SPY daily levels are as follows:
Conversion Line Resistance: $551.31
Baseline Resistance: $548.98
Psychological Support: $540
Daily Cloud Support: $537.66
$SPY Daily Candles - [07/29/2024]
Thoughts & Comments from Yesterday - 07/29/2024
Yesterday was a disgusting day for the markets. Markets were not bloody red, but conditions really just were not great. There were no great opportunities to trade, and many traders had a lot of difficulties navigating throughout the day. Hopefully, you all were able to capitalize on the single dip buying opportunity throughout the day and realized gains in the process!
We started the day with $SPY opening at $546.04. Conditions were not perfect, but we opened nicely green from the previous close. Right from open, $SPY showed strength but was instantly sold off to scare some traders before ripping back up within the first half hour of the trading day. $SPY went on to make the official high of the day, trading at $547.05. Conditions were great, and opportunities were amongst us on the rip. But unfortunately, after moving up quickly, $SPY decided to take the slow escalator down. We sold off into the lunchtime session, making the official low of the day trading at $542.73. Conditions were not great, but it did give us an amazing buy-the-dip opportunity that was alerted almost PERFECTLY in our exclusive trading community.
Markets ripped up from the bottom to go green again for the day, trading above $546, and kind of hovered there for the beginning of the afternoon. During the back half of the afternoon, markets continued to remain relatively weak, slow, and insignificant as the markets continued to trail off, leading into the close. We did see a quick pop during powerhour, but it was nothing of any major significance. We ended the day with $SPY trading at $544.76, up $0.32 for the day, or up roughly 0.06%. It was a gross day for the overall markets, but thankfully, we did not see any significant bloodshed. Life moves on, and so do the markets. Let’s chalk up yesterday as a relative wash and make the most out of these market conditions today!
S&P 500 Heat Map - 07/29/2024
Thoughts & Comments for Today - 07/30/2024
Today is setting up to be a weird day; with the pre-market session, we are not seeing much movement, but I think that we are going to see either an insane amount of volatility in the markets today or absolutely no movement at all. We have FOMC tomorrow and many major earnings, so please continue to tread lightly on these market conditions, but do what you can to maximize your profit potential. I think that realistically, we will see opportunities consistently presented to us, mostly as AMD will be volatile leading into earnings. If you are attempting to put your eyes on anything, putting your eyes onto semiconductors today will be an interesting time. I would not ever advise blindly entering into semis, mostly as they are extremely volatile right now, but look to follow the general market momentum. If semis are looking strong and look like they will continue to run, take advantage. If semis are looking weak and look like they are going to continue to dump, take advantage. Regardless of what semiconductors do, look to take advantage of the opportunity, because opportunities will be amongst us.
I will say that these market conditions are great, but it just depends on the types of allocations you are looking to make and the timeframe of the exposure you are looking for. I had a long call with one of my old friends yesterday talking about these market conditions, and I told him in confidence as he asked if this is the time to allocate to the markets. I told him that these market conditions are extremely strong, and there are going to be many great opportunities to capitalize on the strength of the markets, but there are only two ways to be able to do so at the moment. (There are obviously more than two, but there are two that I personally believe the average person can achieve with ease) The first is setting up a DCA/DRIP with an organization or fund that offers a solid dividend and invests over the course of a lifetime. This builds consistency, longevity, and helps you build what is a significant portfolio, and grows consistent income in the process. Other than that, the only way to confidently realize a significant amount of gains is by allocating in the short term. Actively scalping and day trading throughout the day when opportunities are amongst us. I believe that there is honestly no good in between that you can capitalize on with confidence, but it is one of those things that it does suck in the short term but will change as market conditions change. I do believe that it is extremely difficult to allocate into these market conditions with the anticipation of investing over the next year or so because I do believe that markets are too overpriced right now, and I cannot confidently tell people to attempt to allocate into these market conditions. It is not that I am bearish on the markets or bearish on any specific organization because many of these organizations that are in the markets right now are amazing, but it is more so a matter of being able to allocate with confidence. No offense to anyone who invested in any general semiconductors at the top, but I think that realistically, once that bubble pops, then it is game over. I am not being bearish on $NVDA or any of the other semi in terms of their organization, but I am bearish on the price of semiconductors, thinking that, realistically, they need to come down.
Please continue to scalp and day trade when you have an opportunity to do so today. If there is anything that you want me to explain about a DCA/DRIP play, please feel free to ask me on Discord. If we have enough people who are interested in it, I would be more than happy to explain the process, how to set it up, and why it works.
I’ll be working on some analytical data today about setting up a DCA/DRIP plan with $GAIN and $JEPI for you all, so be on the lookout when I publish my statistics either today or tomorrow.
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, $TSLA, $AMD, $SBUX, $NVDA, $INTC, $BA
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC
Economic News for 07/30/2024 (ET):
House Price Index - 9:00 AM
S&P Composite - 9:00 AM
CB Consumer Confidence - 10:00 AM
JOLTs Job Openings - 10:00 AM
Notable Earnings for 07/30/2024
Pre-Market Earnings:
SoFi (SOFI)
PayPal (PYPL)
Pfizer (PFE)
BP (BP)
Leidos Holdings (LDOS)
Procter & Gamble (PG)
Phillips 66 (PSX)
American Tower (AMT)
JetBlue (JBLU)
SYSCO (SYY)
After-Market Earnings:
Advanced Micro Devices (AMD)
Microsoft (MSFT)
Arista Network (ANET)
Starbucks (SBUX)
Pinterest (PINS)
Caesars Entertainment (CZR)
Electronic Arts (EA)
Live Nation (LYV)
Stryker (SYK)
Match Group (MTCH)
Wrap up
Hopefully, market conditions become more favorable for us and provide us all with great opportunities to trade and realize a significant amount of gains in the process. I think that many opportunities will be presented to us today, so do what you can do to catch as many scalps and day trades as possible, and then, on top of that, prepare accordingly for FOMC tomorrow. Markets are going to be volatile, and we are going to have a lot of fun. So, realize some gains and have an amazing time in the process!
Good luck trading, and let’s see where $SPY takes us today!