HaiKhuu Daily Report - 10/22/2024
Good morning, and happy Tuesday! I hope you are all doing well and are ready for some bad news.
Markets are starting to show weakness, and I think that market conditions are about to get spooky. With $NVDA holding up the markets like Atlas holding up the heavens, I think we are starting to see the first signs of a reversal in the markets. This is only just the beginning, and the markets can easily reverse and continue to show strength, but the way that yesterday impacted the market and many traders' sentiments, it is easier to be skittish and skeptical versus being overly confident in the markets. Please be fluid with your allocations and tread lightly, but just know that conditions can easily weaken, and I am personally preparing to buy the dip.
Just as a reminder, do not forget that we have $TSLA earnings after hours TOMORROW if you are attempting to allocate long in the organization or trade it specifically for earnings!
Good luck trading today, and let’s see if the markets sell off!
The updated $SPY daily levels are as follows:
Conversion Line Support: $579.34
Baseline Support: $573.01
Psychological Support: $580
Daily Cloud Support: $547.13
Thoughts & Comments from Yesterday - 10/21/2024
Yesterday was a beautiful day. $NVDA carried the markets on its back, and we watched as $NVDA made new all-time highs. Conditions were great, but navigating them was tough. $SPY was down overall, but there were great opportunities to play both directions and realize a significant amount of gains in a short period of time!
So we started the day with $SPY opening at $583.91. Conditions were looking good with slight bullish momentum early in the morning, going on to make the official high of the day trading at $584.84 and watched as momentum quickly shifted, where within the first hour of the day, we reversed and quickly sold off, going on to make the official low of the day trading at $580.61 during the lunchtime lull.
Thankfully, as volume started to come back, markets reversed, and the entire afternoon was slightly bullish. We slowly moved up throughout the afternoon, pushing into close, where we ended the day with $SPY trading at $583.63. It was a beautiful day for the traders and presented many people with some great opportunities.
The interesting thing about yesterday is that most organizations had a terrible time, but $NVDA continued to make new all-time highs. If $NVDA had not been able to carry the markets on its back yesterday, the selling across the board would have been significantly worse. Please continue to tread lightly and practice safe risk management in these market conditions.
S&P 500 Heat Map - 10/21/2024
Thoughts & Comments for Today - 10/22/2024
Today should be an interesting time for the markets. With the weakness across the board, I am not overly excited about today, but I believe that opportunities will be presented to us soon. I think there will be many opportunities to capitalize on both directions, but it is just a matter of being able to spot those allocations not only in real time, and having the confidence to let your position come to fruition.
I think scalping today will provide you with less risk in these market conditions by limiting your general exposure, mostly if we see overly bearish momentum in the markets. I would make sure to tread lightly and sit on your hands if you are feeling overly bearish due to these conditions or you see a significant amount of chop in the markets. Just remember, the best poker players only play a fraction of the hands they get and only play when they have the confidence to do so!
One thing that does concern me is the fact that $NVDA held the markets up yesterday. It is great that the markets did not sell off, but the large majority of the markets were bloody across the board and showed a significant amount of weakness yesterday. Traders had opportunities to realize gains, but yesterday was a tough day for many. This is just kind of a broad warning again to everyone. Market conditions will get spooky leading into the election season (And Halloween), but I am feeling more skittish personally, seeing these signs of weakness across the board. I am holding more of my portfolio in cash at the moment but will be reallocating it when there is a “buy the dip” opportunity.
Just as a warning again, I believe that soon, we will see a significant amount of weakness in the markets. I do not know when it is coming, and I do not know where the markets will go once we start to dip. But all I know is that it will happen inevitably one of these days, so make some smart decisions, and practice safe risk management now, mostly when we are starting to see some weakness. But just know that we are starting to see signs of weakness. It does not mean that you should be bearish or attempt to be short. Market conditions are still strong, but we are seeing the initial signs of a general shift in overall market momentum.
For my allocations today, I will say that I do not feel overly ambitious in these market conditions, mostly because $SPY is starting to display weakness. I am mentally prepared to do what I can to prepare to allocate on a dip. I don’t really “feel” like I want to allocate to these market conditions, but if given a chance, I will look to buy a dip and scalp when given an opportunity to do so!
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, $TSLA, $RIVN, $BA, $INTC, $AIFF
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC / $RIVN / $BA
Economic News for 10/22/2024 (ET):
Philadelphia Fed President Harker Speaks - 10:00 AM
Notable Earnings for 10/22/2024
Pre-Market Earnings:
Verizon Communications (VZ)
Freeport-McMoRan (FCX)
General Motors (GM)
RTX Corporation (RTX)
GE Aerospace (GE)
3M Company (MMM)
Quest Diagnostics (DGX)
Lockheed Martin (LMT)
Shewin-Williams (SHW)
Polaris (PII)
After Market Earnings:
Baker Hughes (BKR)
Canadian National Railway (CNI)
Seagate Technology (STX)
Texas Instruments (TXN)
AVANGRID (AGR)
Packaging Corporation (PKG)
Valmont Industries (VMI)
Weatherford International (WFRD)
CoStar Group (CSGP)
Matador Resources (MTDR)
Wrap up
Hopefully, market conditions only continue to remain optimal, but it does sketch me out knowing that there is weakness being displayed in these current conditions. Please tread lightly and practice risk management while remembering what I said. I believe that this dip when it inevitably comes, will be deadly but will provide us with an amazing opportunity to buy the dip. So be smart and practice risk management, mostly while market conditions continue to look skeptical.
Good luck trading, and let’s see where the markets take us!