HaiKhuu Daily Report - 09/04/2024
Good morning, and happy Wednesday! It looks like we’re already halfway through the week, but the fun has just started! Market conditions are looking TOUGH, mostly as $SPY has continued to show weakness across the board. I think this is going to provide us with an amazing opportunity to trade, but at the same time, it will wipe out many, many traders in the process.
Please make sure you are practicing safe risk management when attempting to allocate into the markets today because I am expecting difficulties in navigating these conditions with confidence. Many people are starting to get fearful, mostly as $SPY is breaking down and testing both the $550 support level and daily cloud support. This should be an extremely interesting time, as many traders experience a significant amount of difficulty in a short period of time.
Just continue to protect your bottom line and make sure you remain solvent in these current conditions.
Good luck trading today, and let’s see where $SPY takes us!
The updated $SPY daily levels are as follows:
Conversion Line Support: $556.86
Baseline Support: $537.24
Psychological Support: $550
Daily Cloud Support: $550.14
Thoughts & Comments from Yesterday, 09/03/2024
Yesterday was a genuinely disgusting day for the overall markets. $SPY continually dropped and took many MANY traders with it. We only continually sold off throughout the day, with no great opportunities to realize gains consistently unless you were bearish. Many traders got humbled, but that is honestly understandable on a day like yesterday; as I say, C’est la vie.
We started the day with $SPY actually looking alright. We were down from close on the previous Friday, but traders were excited about the trading day. We opened the day with $SPY trading at $560.42 and displayed a significant amount of weakness right from the get-go. Markets quickly dropped, and we watched as $SPY continually came down, looking worse and worse with every passing minute. Conditions only slowed down once we got into the lunchtime lull, where $SPY continued to hover around $555 and was stuck there until the late afternoon.
During that time, many traders unfortunately got chopped around, but that is just life. At roughly 2 pm EST, the markets started to come down again, going on to continually make new lows of the day, and got rougher as we came down and tested $550. We watched as $SPY went on and made the official low of the day trading at $549.52, before recovering slightly into close.
$SPY ended the day trading at $552.08, down $11.60 for the day or roughly 2% overall. It was not a good time for the overall markets, and many, MANY traders, unfortunately, got wiped out in the process, but hey, that’s just life, and that’s just the markets. I hope you all were able to navigate yesterday accordingly and realized a significant amount of gains in the process!
It should be interesting to see where the markets take us today, but regardless, let’s make the most out of these conditions!
S&P 500 Heat Map - 09/03/2024
Thoughts & Comments for Today - 09/04/2024
Today should be another tougher day for the general markets. I cannot lie to you and not say that these conditions are not sketchy because they are. $SPY is testing $550 at the time of writing this report, and by the time the first hour is over, I believe we will find a direction that the markets want to go, and we either break out or sell off here. There is no in between, and that is going to be the difficult part. I would edge more towards the bear side here, as $SPY is coming up on two levels of major daily support. The question is, do we break through those levels and bounce? Or do we watch as $SPY continually sells off in the process? No clue.
Just watch out for $SPY $550, as that is both a major psychological support as well as where the daily cloud support is. In the case that we break down, we can realistically sell off extremely quickly, but the same goes for the inverse, for if you are able to catch a bounce in the markets and remain optimistic, then look to ride the general momentum and do what you can to maximize your profit towards the upside.
The biggest thing you all just need to do at this moment is to make sure you are practicing safe risk management. These conditions are rough, and many traders are going to unfortunately have an extremely difficult time navigating these conditions with both comfort and confidence. A lot of traders are simply going to have a difficult time, and it is going to be extremely tough navigating the short-term momentum in the markets. There is going to be a lot of volatility, and there is going to be even more difficulties remaining confident, mostly if $SPY breaks below $550.
If you are not comfortable attempting to trade when market conditions are turbulent, my recommendation to you is not to attempt to trade today but to simply watch the price action and movement in the markets, to watch which direction we ultimately go, and to get some experience watching general market momentum.
For my allocations today, I will say that I anticipate being more passive in these market conditions. I do not anticipate attempting to allocate today, but if given an opportunity to scalp or day trade with confidence, I will look to take advantage of the momentum ONLY when I have the confidence to do so. I will consistently set tight stop losses to minimize my risk whenever I enter into any position.
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, $NVDA, $INTC, $AIFF, $AAPL, $TSLA, $RIVN
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC
Economic News for 09/04/2024 (ET):
Job Opening - 10:00 AM
Factory Orders - 10:00 AM
Fed Beige Book - 2:00 PM
Notable Earnings for 09/04/2024
Pre-Market Earnings:
Dollar Tree (DLTR)
DICK'S Sporting Goods (DKS)
Ciena Corporation (CIEN)
Hormel Foods (HRL)
Torrid Holdings (CURV)
J.Jill (JILL)
Core & Main (CNM)
Americas CarMart (CRMT)
Daktronics (DAKT)
REV Group (REVG)
After-Market Earnings:
C3.ai (AI)
Hewlett Packard Enterprise (HPE)
ChargePoint (CHPT)
Casey's General Stores (CASY)
Credo Technology (CRDO)
Sprinklr (CXM)
Verint Systems (VRNT)
AeroVironment (AVAV)
Yext (YEXT)
Wrap up
Hopefully, market conditions recover today, and we see a significant amount of confidence come into the markets after opening. Please make sure to follow the general market momentum and practice safe risk management because today should be another volatile and difficult day to navigate. Protect your bottom line, realize some gains, and honestly, just have an amazing time in the process. I think that this should be a quick day for the markets, so let’s have an amazing time and realize some gains together!
Good luck trading, and let’s see if $SPY bounces off of this daily support level!