HaiKhuu Daily Report - 08/19/2024
Good morning, and happy Monday!!! I hope you all had a wonderful weekend and are ready for another exciting week for the markets. We are starting to see a confirmation of a reversal from the bottom as $SPY has broken through the cloud on the daily, above all of the prior resistance levels, and a bullish TK cross-over is forming on the daily. We are in the final stages of seeing this reversal, so I am genuinely excited to see where the markets go from here!
This should be a fun week for the markets, with lots of economic news and major retail earnings, so be on the lookout for these events!
Monday: Waller Speaks Pre-Market
Tuesday: Bostic Speaks - 12:35 pm EST
Earnings: Lowes, Xpeng
Wednesday: FOMC - 1:00 pm
Earnings: Target, Macy’s, TJX, Snowflake, Zoom, Urban Outfitters
Thursday: Jobless Claims, S&P Global PMI, Existing Home Sales
Earnings: Baidu, Peloton, CAVA Group, Workday, Intuit
Friday: New Home Sales
If you’d like to see the entire week’s news, check it out HERE!
Market conditions are strong, so take advantage of them, but do what you can to maximize your profit potential. Traders should be presented with some fun opportunities to actively trade, so make sure to practice safe risk management. Everyone should realistically have a phenomenal time and realize a significant amount of gains with relative ease!
Good luck trading, and we will see where the markets take us this week!
The updated $SPY daily levels are as follows:
Conversion Line Support: $536.44
Baseline Support: $537.71
Psychological Support: $550
Daily Cloud Support: $548.03
Thoughts & Comments from Last Week
Last week was an extremely bullish week for the markets, watching as we quickly recovered from the bottom. $SPY moved up beautifully, traders were presented with an amazing opportunity to trade, and we genuinely had a phenomenal time, being able to realize gains consistently throughout the week. Conditions were extremely strong, and I don’t think anyone who allocated long, should have anything to complain about unless you bought $GOOG/L or were bearish in these conditions. If you were unfortunate but assuming you were like the majority of the world and bullish, congratulations, it was an amazing time to trade and realize some gains!
We started the week with a lot of underlying confusion in the markets. Conditions were looking strong, slowly recovering from the bottom, but there were a lot of difficulties allocating into the markets with confidence. We started the week with $SPY trading at $534.21, looking strong after recovering from the bottom, trading within the daily cloud. Conditions were choppy on Monday, but thankfully only continued to get better throughout the week. Tuesday was a strong, bullish day for the markets, and Wednesday was relatively neutral but continued to respect technical levels, as its major resistance throughout the day was the daily cloud resistance. This is a good problem to have, but realistically, it is one of those times where markets could have been significantly better and made it extremely confusing to allocate, not knowing if you wanted to watch the markets break out or reject the resistance and come down.
Thankfully, during the pre-market session on Thursday, markets rallied beautifully on economic news, resulting in a gap up on the daily, breaking through resistance levels, and having what was a genuinely amazing time for the markets. Conditions were great throughout Thursday, where we made the official high of the day trading at $553.36, and things only got better leading into Friday, where $SPY only continued to rally, displaying a significant amount of confidence in the process.
On Friday, we started the day with some weak bearish momentum in the markets but were able to quickly rally throughout the day, making the official high of the day trading at $555.01, and continued to chop around to end the week trading at $554.31, meaning that over the course of the week, $SPY was able to rally roughly $20, or almost 4% in a single week. Conditionally, this was an amazing week and a beautiful recovery for the markets. Volatility has died back down, and we are starting to get out of fear on the Fear and Greed index.
Markets are going to be extremely fun this week, mostly as $SPY is coming back from the bottom and is less than 2% away from making a NEW all-time high. Conditions could always be better, but we should be very happy and thankful that there are consistent opportunities that are being presented to us at the moment! So let’s see where the markets go from here and realize some gains in the process!
S&P 500 Heat Map - 08/16/2024
Thoughts & Comments for Today - 08/19/2024
Today should be a fun day for the overall markets, providing us with many opportunities to actively trade and realize gains. I am excited to see where the markets take us today, but at the same time, I am a little bit nervous and skeptical of these conditions. I think that the markets should only continue to move up as there is confidence in the system, but my concern is, when does the confidence stop?
I don’t want to be the guy who wants to leave the game early and take my ball with me, but at the same time, I feel that these market conditions are giving me 1 AM at the party vibes. The people who wanted to leave have already left, and the people still at the party want to continue to party, but the homeowner wants everyone to leave, so they can get a good night's sleep.
I am not saying that the markets are going to come down anytime soon, mostly after the previous drop that we’ve seen, but one of these days, the lights are going to turn on, and everyone is going to go home. The question is, are you prepared for the party to be over? Or are you going to dance your heart out, and pray the lights never turn on?
Continue to take advantage of these market conditions because they are strong at the moment with a significant amount of both strength and confidence in the markets, but at the same time, there is genuinely zero reason why you should not be mildly concerned about this movement. If you are not concerned, you are either extremely confident in these conditions or you are blind to the risks that are involved.
Markets can easily continue to move up, and I genuinely hope they continue. We are less than 2% away from a new all-time high on $SPY, and market conditions are looking extremely strong. We have NVDA earnings coming up next week, and MANY many catalysts for what could be a possible break out for the markets today. But, all I can say is that you should continue to enjoy these market conditions but tread lightly, as there are many catalysts that can easily move the markets, but at the same time, those same catalysts and other external events could easily cause the markets to drop heavily.
So, follow the market momentum now and do what you can to maximize your profit potential. Many traders should have no problem at all capitalizing on the strength of the markets; just beware of the downside risks involved with allocating in these conditions. Actively scalp and day trade when you have the comfort and confidence to do so, and have an amazing time in the process!
If I see any opportunities, or 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, $NVDA, $INTC, $AMD, $TSLA, $RIVN, $MSFT, $AAPL
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC
Economic News for 08/19/2024 (ET):
Fed’s Waller Speaks - 8:15 AM
US Leading Index Change - 10:00 AM
US 3-Month Bill - 10:30 AM
US 6-Month Bill - 10:30 AM
Notable Earnings for 08/19/2024
Pre-Market Earnings:
ZIM Integrated Shipping (ZIM)
Estee Lauder Companies (EL)
Freightos (CRGO)
After-Market Earnings:
Palo Alto Networks (PANW)
3D Systems Corporation (DDD)
Fabrinet (FN)
Agora (API)
Bit Digital (BTBT)
Flexsteel Industries (FLXS)
Wrap up
Hopefully, market conditions will only continue to get stronger over the next couple of days. Please make sure to take advantage of these market conditions and do what you can to maximize your profit potential! This should be a fun time, so protect your bottom line and practice risk management, but leverage yourself and take advantage of these market conditions.
Good luck trading, and let’s see if $SPY makes an all-time high today!