HaiKhuu Daily Report - 10/24/2024
Good morning, and happy Thursday! Markets are looking beautiful during the pre-market session, as $SPY snapped back to $580. $TSLA looked awesome for anyone who held through earnings. Conditions have been tough over the previous couple of trading days, with a significant amount of volatility, but I am extremely excited about these conditions because of the opportunities that will be available to us. If you attempt to trade, many traders will have an amazing time today!
I still believe that we are about to see a large bearish move in the markets. The roughly 1.5% we have dropped from the top is not enough to be confident in our allocation, but the quick reversal from the bottom provides us with the confidence to allocate at least here in the short term. I am excited to see where the markets will take us today!
Take advantage of the strength in the markets, and just do what you can to maximize your profit potential today!
Good luck trading today, and let’s see where the markets take us from here!
The updated $SPY daily levels are as follows:
Conversion Line Support: $580.27
Baseline Support: $573.48
Psychological Support: $580
Daily Cloud Support: $550.89
Thoughts & Comments from Yesterday - 10/23/2024
Yesterday was a disgusting day for the overall markets. We watched as a significant amount of bearish momentum spread across the entire market, providing traders with terrible conditions and consistently generating both realized and unrealized losses. Hopefully you all were able to capitalize on the momentum and opportunities of yesterday, but I will say that yesterday was a tough one for many pe’s portfolios!
So, we started the day with $SPY opening at $581.34. Conditions were looking alright despite $SPY opening below the previous close. Sentiment around open was relatively mild, watching as $SPY continually chopped around for the first couple of minutes, going on to make the official high of the day trading at $581.70. Conditions were looking mild, but watched as the markets quickly shifted it’s sentiment, and we watched as $SPY continually sold off.
We quickly broke through the $580 support in the early morning, sold off throughout the lunchtime lull, and finally bottomed out during the back half of the afternoon, going on to make the official low of the day, trading at $574.42. Conditions at the bottom were tough, but they did provide us with a great opportunity to allocate at the bottom and ride the momentum up.
Markets quickly pushed up in the final hours of the trading day, where we ultimately went on to end the day with $SPY trading at $577.99. Down $5.33 for the day, or down 0.9%. Market conditions were not favorable yesterday, but it did thankfully provide us with some great opportunities to trade and realize some gains in a short period of time. Congratulations to everyone who was able to capitalize on yesterday, and let’s see what the markets are going to be able to do for us today!
S&P 500 Heat Map - 10/23/2024
Thoughts & Comments for Today - 10/24/2024
Today will be an interesting time for the markets. Not taking into account that Tesla is about to save the markets, conditions are looking weak, traders are getting scared, and not many people are confident in their abilities to navigate these conditions. But hey, thankfully, that is not the scenario anymore, mostly as Tesla moved on beautifully on earnings and will be focusing more on profitability. This is amazing for anyone who has been long holding $TSLA shares.
With the way that the markets sit, I would not be in a position where I would expect to see overly bullish sentiment, but I know that people want the markets to naturally move up. But just because we want them to naturally move up does not mean that it will continually do that here in the short term. Realistically, today is going to be a very confusing day, and I am expecting to see a significant amount of chop in the process. I would not advise being bearish unless there is a momentum shift, but I would not be overly bullish, as you have already missed out on a small portion of the recovery.
If you are trying to allocate in these market conditions, the best way to do that, in my opinion, is to attempt to capitalize on the short-term opportunities that are available to us. With the strength coming from $TSLA, if you are already in a position and are happy with your average, I would highly suggest you look into selling covered calls against your position this morning to secure your gains. Call premium will be insane in the morning for $TSLA, so have some fun with your position as you are already up beautifully, and be awarded for holding your position through earnings!
One position that I am interested in right now is allocating towards $BA. With the news that the strike has not ended and will go on for multiple additional weeks, $BA has dropped. I am considering allocating to both short-expiration CSPs to capitalize on the short-term bearish movement we are seeing, and I am looking to allocate into LEAPS to be able to capitalize on the upside potential. The reason why I am attempting to time it out like this is that I believe that here, in the short term, put premium is going to be expensive as a result of the news and headlines coming out, so short the near-expiration put, and then go long via purchasing LEAPS, tying up only a fraction of the capital necessary, and provides us all with an amazing opportunity to realize a significant amount of gains!
For my allocations today, I will say that I am interested in trading and participating in the strong market conditions, but I do intend that the majority of my allocations today will be allocated long into $BA when allowed to do so. I will let you know what allocations I decide to enter into today on $BA and which strikes I decide on, but until then, please sit back, relax, and have an amazing time today!
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, $BA, $RIVN, $INTC, $NVDA, $AMD
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC / $RIVN / $BA
Economic News for 10/24/2024 (ET):
Initial Jobless Claims - 8:30 AM
Services PMI - 9:45 AM
Manufacturing PMI - 9:45 AM
New Home Sales - 10:00 AM
Notable Earnings for 10/24/2024
Pre-Market Earnings:
American Airlines Group (AAL)
United Parcel Service (UPS)
LKQ Corp (LKQ)
Southwest Airlines (LUV)
Nasdaq (NDAQ)
Tractor Supply Company (TSCO)
Dow Chemical (DOW)
DTE Energy (DTE)
Harley-Davidson (HOG)
Honeywell International (HON)
After Market Earnings:
DexCom (DXCM)
Deckers Brands (DECK)
Skechers U.S.A (SKX)
Boyd Gaming (BYD)
Coursera (COUR)
Western Digital (WDC)
NOV Inc (NOV)
Texas Roadhouse (TXRH)
Capital One Financial (COF)
L3Harris Technologies (LHX)
Wrap up
Hopefully, the markets will be able to reclaim this daily conversion line support and continue to display strength and confidence. We are continuing to see some weak bearish momentum hit the board, so just continue to do what you can to remain solvent and capitalize on these market conditions while you can. I expect to see a significant amount of realized gains from the community today, so let’s have an amazing time and make the most out of these conditions!
Good luck trading, and have an amazing day!