HaiKhuu Daily Trading Report

Good morning and happy Monday! Hope you traders are excited about today as market conditions seem extremely interesting at this point. Our government is not shutting down, as there has been a last-minute deal that was passed, resulting in us postponing a possible shutdown until November 17th, so we are not done, but we have some extra lead time to get everything done.

Markets have been extremely confusing during the futures & pre-market session. The markets did not move during the futures session with minimal bearish momentum, but during the pre-market session, when the markets opened up again, $SPY was beautifully green, trading above $430, and has come back to being relatively neutral from the pre-market session and close from Friday.

This is going to be a confusing day for the markets with lots of opportunities to trade, and more opportunities to get burnt in the short term. We are going to see a very large directional move that is extremely momentum-based. Please make some smart decisions and practice safe risk management while we are in a state of confusion in the markets, but look for opportunities to buy and hold strong equities. We are going to see some great value in the markets, so look to buy some value, and have a great time in the process.

Good luck trading this week, and let’s see what the markets have in store for us!

The updated $SPY daily levels are as follows:
Conversion Line Resistance: $433.36
Base Line Resistance: $437.98
Weak Psychological Resistance: $430
Weak Psychological Support: $425
Strong Psychological Support: $420
Daily Cloud Resistance: $443.39

$SPY 15-Minute Candles - Choppy Market conditions [9/25 -9/29]

Thoughts & Comments from Last Week

Last week was an interesting time for the overall markets. We watched as there was a significant amount of chop and confusion in the markets, mostly as we broke below major support on the $SPY daily, resulting in us reaching extreme fear in the markets, and showing signs of weakness.

We started the week off on Monday, with $SPY trading at $429.17, looking slightly optimistic and strong, and had a great bullish day for the markets as $SPY continued to push up throughout the entirety of the day, making an official high of the day into close. This was a great way to start the week but afterwards was followed by a significant amount of chop and confusion.

Tuesday was a tough day for the markets that was filled with some neutral bearish momentum across the board. We started the day trading at $429.09, made the official high of the day around open trading at $429.82, and was followed up with a significant amount of bearish momentum throughout the entire day, where we made the official low of the day trading at $425.02, and bounced into close, ending the day trading at $425.88.

Wednesday was a tough yet confusing day for the general markets, as there was a significant amount of bearish momentum in the markets to start the day, but a significant amount of bullish momentum as the markets started to recover. We started the day with $SPY trading at $427.09, looking relatively strong from the previous close, dropping down to make a three-month low in the markets trading at $422.29, and recovering back up and ending the day at $426.05. There was not much overall movement on a day-to-day basis, but the intraday movement was significant as we saw a 1% intraday bearish movement and a 1% intraday bullish movement. Anyone who was buying and holding did not see any significant change in their portfolio overall, but if you were actively trading the momentum, you should have been able to easily capitalize on the opportunities that were available to us.

Thursday was a better day for the markets with some nice bullish momentum, but nothing of any major significance. We started the day trading at $425.48 and were looking strong as we made an official high of the day with $SPY trading at $430.25, but coming down slightly into close. We ended the day with $SPY trading at $428.52, looking relatively strong, and having a great time in the process.

Friday was in my opinion the toughest day for the markets. It was tougher than Wednesday as we started the day off looking extremely strong, but were extremely weak on an intraday basis with no significant recovery. We started the day with $SPY trading at $431.60, looking extremely strong above the previous close of $428.52, and having a great time at open. We made the official high of the day right from opening with $SPY trading at $431.85 and then watched as the markets continually chopped around and came down throughout the rest of the day. We quickly broke below the $430 support level going into the lunchtime lull and were met with even more bearish momentum throughout the rest of the day. Going into the back-half of the day, as people were starting to come back from lunch and volume picked back up, there was significantly more selling, resulting in us making an official low of the day around 2 pm EST, at $425.91. We did not reach the lows of Wednesday, but there was a significant amount of bearish sentiment in the markets bringing fear back into the markets. We did recover slightly into close after making the official low of the day, but there was no significant recovery at all. We ended the week with $SPY trading at $427.48, down $1.04 for the day on Friday, or down 0.24%, with an intraday bearish movement of roughly -1%. It was an extremely tough time for the general markets that did not provide us with any significant opportunity to trade, but it did provide us with many opportunities to scalp throughout the day.

For the overall week, $SPY was down $1.65 from Monday open to Friday close, or down roughly 0.38%, with an intraday overall movement of down -0.55%, but there was a significant amount of chop and momentum in the markets that made it extremely difficult to be consistent throughout the entire week. I hope you all did alright in the grand scheme of things as it was one of the most difficult weeks we’ve seen in the markets in a while to attempt to trade, but as always, there were many opportunities to actively trade and realize a significant amount of gains. Last week was one of the best weeks I’ve had in a while, and I hope you all were able to capitalize on the opportunities that were presented to us!

We exited $FAZE as it pumped 60% on Monday, had many opportunities to purchase and profit on 0-DTE’s, and loaded up on many great equities at a phenomenal price.

Let’s see what this week has in store for us, and have a great time in the process!

Thoughts & Comments for Today, 10/02/2023

Today is going to be an interesting yet confusing day for the markets. It is the beginning of Q4, and I believe there are going to be many great opportunities in the markets that will allow us to realize a significant amount of gains, but at the same time, I believe that there is going to be a significant amount of difficulties in the markets as a result of inconsistencies in the markets and a significant amount of chop. I do believe that we are going to see a significant amount of chop until we do see a larger overall movement in the markets, but until then, I do not believe there will be many opportunities at all to have relative confidence in the short term. Once we get that increase in confidence in the markets, will we see a shift in market momentum which will provide us with an amazing opportunity to trade, and an even better opportunity to buy solid equities and hold.

For now, I would not advise being overly ambitious in the markets, and trying and realize gains when you can, but at the same time, look for opportunities to trade and capitalize on the momentum in the markets. People are going to have an extremely difficult time in the short term, but if you are practicing safe risk management, and allocating into the markets when you have confidence, I do believe that in reality, you should be able to realize a significant amount of gains, with relative ease, assuming you are allocated properly.

If you are attempting to trade, make sure you are comfortable with your allocations and are practicing safe risk management. There is a significant amount of downside risk in the markets at the moment, but if you are able to allocate to a strong organization while the momentum is in your favor, you should be able to realize gains with ease. Do not get greedy if you are attempting to scalp or day trade, but take profits with confidence and minimize your risk.

If you are attempting to go long in the markets, my sentiment remains the same. If you are able to allocate into strong equities that are fundamentally solid, while being significantly undervalued, you will be able to realize a sizable return with time. This is an amazing opportunity to allocate into organizations that are not general tech, as it will provide us with an amazing opportunity to invest, with little to no downside risk. If general tech and mega-caps come down, this will result in a lot of tech organizations having an extremely difficult time sustaining this general momentum and price action, but allocating to fundamentally solid organizations that are undervalued right now, will give you an amazing opportunity to realize gains, with little to no risk. You may not get any sort of sexy returns in the markets, but safe allocations, are always going to be the move in comparison to attempting to catch the momentum in the markets, and pray that you are able to realize gains as a result.

Just make sure to remain cautious when looking at tech, semiconductors, and travel at the moment. All three of these organizations can provide you with a significant amount of realized gains in the short term assuming that allocations remain relatively strong, and market momentum is in your favor, but I still firmly believe that there is a significant amount of downside risk associated to all three of these sectors. Tech and Semiconductors are heavily overpriced right now, that ultimately with time, need to come down which will result in a significant amount of fear driven from the retail markets, as well as I do believe that travel right now, after being sold off, is still going to have an extremely difficult time recovering. I would personally recommend not allocating into any of these sectors, and looking for opportunities to trade other strong organizations, but to each their own. I just know that a lot of retail traders are going to have an extremely difficult time if you are attempting to trade or allocate long into any of these organizations.

Personally, as much as I would love to trade this market momentum, believe that I am not going to be overly ambitious while attempting to capitalize on these conditions. I do not anticipate entering into many day trades at this time, but will continually look for opportunities to scalp. I am personally more interested in sitting on the benches, waiting for opportunities to snipe and pick up phenomenal organizations at a discount. I still believe that $DG and $DIS are both phenomenal holds in the short term and will look to allocate more to both of these organizations with time. For now, though, I do not want to be overly ambitious and try to force any trades, mostly in these market conditions.

As always, please be smart, please be safe, and look to capitalize on any opportunities that are presented to us, while practicing safe risk management.

If you want to watch any of my allocations, they will be posted live in the HaiKhuu Discord.

HaiKhuu Proprietary Algorithm Report:

Last week was an interesting time for our results. Our technical analysis outperformed our fundamental analysis by a sizable margin, which does provide us with a significant amount of confidence in the short term, but at the same time, the movement we’ve seen underperformed significantly in comparison to $SPY. It is great to see that the technical analysis from our algorithm did phenomenally, but it is just unfortunate that the portfolio it was built upon underperformed by a significant margin. We will see what we are able to do during active testing, but in the meantime, we are still anticipating retaining this hold on the algorithm indefinitely, this is a sign that the algorithm is reacting well, and we might need to test it on a different portfolio or against $SPY itself.

To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!

The results of last week are as follows:

Baseline:

$SPY: -0.55%

Our Results:

Sector Neutral: +0.04%
Variable Sector Neutral: -0.96%
Variable Market Neutral: -1.39%
Base Algorithm: -1.61%
Market Neutral: -1.64%
Long Term Portfolio: -2.52%

As I said before, the algorithm is on a tentative hold at this time as a result of market conditions not being favorable and us not wanting to provide positions that are not consistent and not up to our personal standards. We are continuing to provide these positions for complete transparency and consistency's sake, but just note that HaiKhuu is not endorsing any of these positions. Please take these all at your own risk, and make sure you are practicing safe risk management if you are attempting to allocate into any of these positions.

DISCLAIMER - This is not financial advice. Utilize these trades with caution. These predictions are generated via our proprietary trading algorithm without taking into account market conditions, news, or any external biases. This is not a signal to buy or sell any equities, and we do not guarantee success. Take these at your own risk.

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 , $DG , $DIS , $ARM , $NVDA , $AMD , $MSFT , $BA , $CCL

Position Opportunities:

Follow the market momentum
Limit your downside risk
Hold cash & prepare to allocate into the markets

LONG OPPORTUNITIES:

Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $DIS / $DG

Economic News for 10/02/2023

S&P Manufacturing PMI Final - 9:45 AM ET
ISM Manufacturing PMI - 10:00 AM ET
Construction Spending - 10:00 AM ET

Notable Earnings for 10/02/2023

Pre-Market Earnings:

None Scheduled

After-Market Earnings:

None Scheduled

Wrap up

Overall, this is going to be an interesting and confusing time for the general markets, please make sure you are taking advantage of the opportunities that are presented to us, but make sure you are practicing safe risk management and limiting your downside risk as much as possible. Please be safe, but look for opportunities to allocate into strong equities at a phenomenal price. Watch out for market momentum and hope that there is a general shift in confidence soon.

Let’s have a great time trading this week, and realize a significant amount of gains!

Good luck everyone!

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HaiKhuu Daily Report 10/02/2023