HaiKhuu Daily Report 11/06/2023
Good morning, and happy Monday! Hope you all enjoyed your weekend and were able to rest for an extra hour. This hour, in my opinion, is phenomenal to assist people’s sleep schedule, but terrible because I am sure you all are excited for the 4 pm sunset.
Markets are up slightly at the time of writing this report, but nothing substantial to write home about. The bullish momentum from the bottom has continued, and we are still showing relative strength in the markets as $SPY is up to the daily cloud resistance. We are showing signs of a possible bullish TK cross-over and a confirmation of a reversal here from the relative bottom.
Please be careful while attempting to trade, as in the short term, we may reject this cloud resistance and come down, as we are due for a minor correction, but there is an overwhelming amount of retail confidence in the markets at this moment that we can easily capitalize on. We are at the lower ends of fear on the fear and greed index, meaning that confidence is coming back into the markets, and people are buying again.
This is a great sign for the people who purchased and have been holding from the bottom and will result in an extremely interesting time for the people who are attempting to allocate here.
I’ll talk more about general market sentiment later on in this report but for now…
Good luck trading today, and let’s make some BANK!
The updated $SPY daily levels are as follows:
Conversion Line Support: $422.75
Base Line Support: $423.67
Weak Psychological Support: $430
Strong Psychological Support: $420
Daily Cloud Resistance: $435.67
$SPY Daily Candles - Testing Cloud Resistance [11/03/2023]
Thoughts & Comments from Last Week
Last week was an absolutely beautiful week for the markets with a significant amount of bullish momentum, where essentially, if you bought and held anytime throughout the week, you should have been able to realize a significant amount of gains. $SPY was up over 5% throughout the course of the week, and we are up significantly from the fearful bottom just a couple of weeks ago. Trading last week was a phenomenal time, and I hope you all were able to capitalize on the insane movement we had!
To start off the week, Monday was quite the time. We made the official bottom on Friday, bouncing off of the $410 resistance, and Monday was the start of the official reversal. The movement overall was not that significant, as $SPY opened the day at $413.56 and ended the day trading at $415.59, but the significance is this was the beginning of the reversal from the bottom, as people were starting to get more confident in the market conditions and preparing for what would become a large movement up throughout the week.
Tuesday was even better than Monday, as it was a continuation of the reversal, and we watched as $SPY came up to the daily conversion line resistance, providing us with more optimism and confidence in the markets. $SPY opened the day trading at $416.18, dropped to make the official low of the day trading at $414.21, and rallied up into close, making the official high of the day trading at $418.53. There was a significant amount of strength, but we were still below the daily conversion line resistance, signaling general weakness, but a nice move in the right direction, mostly as a confirmation that a reversal was in the process of getting formed.
Wednesday is when the magic started to happen. With confidence coming back into the markets as people were preparing to hear the Fed’s decision on the interest rate, created enough bullish momentum to cause us to continually push and end the day breaking above the daily conversion line and testing the daily baseline resistance on $SPY. We started the day with $SPY trading at $419.20, moving up significantly on economic news during the pre-market session, and then watching as the trend continued throughout the entire morning, only slowing down after the announcement that the interest rates were to remain unchanged, before Jerome Powell spoke, and rallied into close, where we ended the day right under the daily baseline resistance, trading at $422.66. The movement up was beautiful, and if we were able to break through and hold above the daily baseline resistance, would be the confirmation of a reversal from the bottom.
Thursday was a day that was filled with realized gains and dreams being made. We gapped up on the daily, with a significant movement during the pre-market session. $SPY was up almost 1% before opening and displayed a significant amount of confidence that resulted in a beautiful movement in the markets. $SPY opened the day trading at $426.59 and had continual bullish momentum throughout the entire day. We ended the day with $SPY closing at $430.76, above the psychological resistance, and providing us with a confirmation of a reversal from the bottom as we closed above the daily baseline resistance. This was key to the general market success and provided us with some beautiful opportunities to sit back, relax, and enjoy the opportunities that were provided to us.
Friday, by itself, was just an alright day for the markets as there was no significant movement on an intraday basis, but overall, it was a beautiful time. $SPY started the day trading at $433.09, up nicely from the previous close, and continued to push and rally throughout the day. The momentum was not as blindly bullish as it was on Thursday, but the movement up we saw was significant, as it was continually testing the daily cloud resistance. This was a beautiful time for the markets that provided us with many great opportunities to trade and realize gains in the process. $SPY made the official high of the day, trading at $436.29, within the daily cloud, but we watched as $SPY sold off in the final hour of the day, rejecting that level and ending the week with $SPY trading at $434.69. We still saw almost a $4 move or roughly 0.9% move on $SPY, with an intraday bullish movement of 0.36%. It was a beautiful day to end the week.
Last week was full of FIVE bullish green candles on the daily, with two gaps between Wednesday & Thursday and Thursday & Friday. The movement was significant, and it provided us with some beautiful opportunities to take advantage of the momentum in the markets. We have not seen a movement that large in a short period of time this entire year, and it was amazing experiencing it in real-time. I hope you all were able to take advantage of the opportunities that were presented to us and enjoyed the process.
Let’s see what this week has in store for us, and try to make the most out of any opportunities available!
$SPY Heatmap [10/30-11/3] - Beautifully Green
Thoughts & Comments for Today, 11/06/2023
Today is going to be a confusing day that will provide us with opportunities, but with the way we currently stand, we do not have much confidence in the process. People who have bought at the bottom are sitting pretty at the moment, and people who want to allocate here are in a state of confusion where they do not know how to proceed.
Shorts have been burnt on the way up and are looking for any sign to shoot the markets back down, while hyper-optimistic people obviously want the markets to continue to move up. This is that weird place in the markets that provides us with opportunities but makes us really consider the opportunities that are available and think about how we want to navigate these conditions.
With the way the markets sit, there is a significant amount of confidence flooding back into the markets as we are about to transition out of the fear stage, but at the same time, we have moved up extremely fast in an unsustainable way. We are back up to the daily cloud resistance, which could be a possible rejection point, but at the same time, there is enough blind confidence and buying happening at the moment that we can easily break through that level and provide us with significantly more confidence in the process.
Personally, I love this market momentum, but I do not feel comfortable or confident enough to allocate long into the markets at this point.
The biggest thing I would recommend you do right now is not to be overly optimistic and to take these conditions with a grain of salt. I would not recommend you attempt to allocate into general organizations that you do not have the comfort or confidence in holding at this point, and would highly recommend that the large majority of individuals not attempt to allocate long into the markets now but simply follow the market momentum and attempt to trade in these conditions. By actively trading, you are still able to retain exposure and capitalize on the market momentum, but you are not subject to the general risks that are involved with allocating long, mostly as the markets have continued to move up significantly over the previous couple of weeks.
If you are attempting to allocate long, my same sentiment still stands. Look to only allocate deep-value organizations that are fundamentally solid that you have confidence in buying and holding at this time. Do not FOMO in an attempt to allocate into these higher-beta tech organizations that have moved up nicely over the previous week, and simply just buy and hold value where there is an opportunity to do so.
If you are attempting to trade, though, this is the time to look to take on some risks, but make sure to practice safe risk management in the process. My sentiment is the complete opposite for the people who are looking to actively trade in these conditions. If you are trading, look to follow the momentum in the markets and attempt to make extremely quick plays into higher-beta organizations that you have confidence in. Enter when you see a confirmation of the direction you are attempting to play and play it. Do not get greedy. Take profits early, and make sure that you are setting stops to limit your downside risk. If a play does not work in the way that you want, do not get emotional. Take all these trades with logic and reasoning, and just be smart in the process.
For myself personally, I am going to be excited to capitalize on this market momentum. I do not want to be overly ambitious as I am already allocated heavily into general equities that I am happy to hold, but at the same time, I want to also look to take advantage of some opportunities to trade. I do not want to over-allocate into trades, but I want a decent amount of exposure when I am confident doing so. I am not looking to generate any sort of life-changing money today, but at the same time, I want to take advantage of this market momentum and realize some short-term gains while they are available.
This will be a fun yet confusing time for the markets, so make the most out of the opportunities that are available, but just make sure to tread lightly and practice safe risk management in the process.
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 amazing time for the algorithm. I do not want to be overly optimistic about our results, but I am very happy to see the performance that was provided. Markets were up nicely, and both the long-term portfolio and the base algorithm outperformed $SPY on an intraday basis. The performance of the base algorithm outperformed the long-term portfolio only by a slight margin, but despite this, we still were consistent and outperformed the markets. I am happy with these results and hope that they remain consistent over the next couple of weeks for us to officially launch our newest algorithm.
Hopefully, you all were able to capitalize on these positions, and let’s see how these results fare this week!
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of yesterday are as follows:
Baseline:
$SPY: +3.18%
Our Results:
Base Algorithm: +3.35%
Long Term Portfolio: +3.33%
Variable Sector Neutral: +2.51%
Variable Market Neutral: +2.06%
Sector Neutral: +1.05%
Market Neutral: +0.77%
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.
Algorithmic Alerts for 11/06/2023
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, $DIS, $AAPL, $TSLA, $NVDA, $GM, $F, $KO
Position Opportunities:
Trade the market momentum
Set stops in guaranteed profit
Limit your downside risk
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $DIS / $DG / $KO
Long-Term Auto Sector - $F / $GM
Economic News for 11/06/2023
Fed Gov. Cook Speaks - 11:00 AM ET
Federal Reserve Senior Loan Survey - 2:00 PM ET
Notable Earnings for 11/06/2023
Pre-Market Earnings:
Brookfield Asset Management (BAM)
Axsome Therapeutics (AXSM)
BioNTech SE (BNTX)
Eversource Energy (ES)
Hilton Grand Vacations (HGV)
DISH Network (DISH)
After-Market Earnings:
Realty Income (O)
NXP Semiconductor (NXPI)
Vertex Pharmaceuticals (VRTX)
Him & Hers Health (HIMS)
Clover Health (CLOV)
Coherent Inc (COHR)
Goodyear Tire & Rubber (GT)
Diamondback Energy (FANG)
Trip Advisor (TRIP)
Medifast (MEDI)
Wrap up
Overall, this should be an extremely interesting time for the markets, with a significant amount of confusion as a result of the movement we’ve seen in the markets. Let’s capitalize on the opportunities and momentum that are available to us, but at the same time, let’s make sure to practice safe risk management and limit our downside exposure as much as possible. Tread lightly on these conditions, and have a great time in the process of everything!
Good luck trading this week, and let’s make some bank!