HaiKhuu Daily Report 11/28/2023
Good morning, and happy Tuesday! Hope you traders are feeling good and are bundled up because it’s getting chilly here in Chicago, and the markets are looking relatively weak. We are not looking extremely bearish but are starting to display signs of weakness in the markets and opportunities to capitalize on some momentum in the markets.
I do not want to be overly bearish at this time, as markets are continuing to look strong in perspective to where we started this month, but we are displaying signs of bullish momentum slowing down and some possibility of bearish momentum coming up. Please be smart and diligent during this time, do not take on a significant amount of risk, and please consider hedging your portfolios, as VIX is at a relative low.
Make some good decisions in these market conditions, and protect your bottom line. Market conditions are going to get confusing and difficult soon, so prepare accordingly.
Good luck trading today, and let’s have a great time!
The updated $SPY daily levels are as follows:
Conversion Line Support: $452.25
Baseline Support: $432.79
Strong Psychological Support: $450
Daily Cloud Support: $436.93
$SPY Daily Candles, Continued Bullish Momentum - [11/27/2023]
Thoughts & Comments from Yesterday, 11/27/2023
Yesterday was a tough day to trade. There was a significant amount of chop, which made trading extremely difficult to do with confidence and a lack of overwhelming momentum to capitalize on. Markets were difficult to trade but provided us with many opportunities consistently throughout the day. It was just a matter of you being able to catch a movement and being lucky enough to realize gains quickly enough in the process. I would say that many people were provided with great opportunities to trade throughout the day, but the large majority had a difficult time realizing gains while attempting to trade yesterday. If you were able to realize gains with confidence, great job, as not many people can say they realized gains trading yesterday.
We started the day with $SPY trading at $454.65, down slightly from the previous close of $445.30. Markets were slow from the get-go but allowed us to capitalize on relative weakness around open. Markets came down slightly for the first half hour before we got economic data in regard to new home sales, which caused the markets to push up and make the first high of the day, trading right around $455. After this initial push, $SPY came down and tested the low of the day again.
Going into the lunchtime lull, there were really not many opportunities to allocate with confidence, as $SPY did slowly climb up in the process. We were green from open for the entire lunchtime push but not from the previous close. There was a single point in the entire day, right around 1:15 PM EST, when the markets went green for the day and made the official high of the day, trading at $455.49. This was nice, but the confidence was unfortunately not sustained.
Markets came down after rejecting the high of the day, going on to making the official low of the day while Joe Biden was speaking, with $SPY trading at $454.08. It was a tough time, but gave many traders opportunities to get out of their bearish allocations with confidence and realized gains.
We ended the day with the markets rallying nicely into powerhour, where $SPY went to test the previous close, but ultimately was rejected and came right back down to end the day. $SPY closed the day trading at $454.48, down $0.82 from the previous close, or down approximately 0.18%, with an intraday bearish movement of -0.04%.
It was an extremely difficult day to trade. There were many opportunities to trade, but it was difficult to capitalize on it with confidence. Markets had an extremely tight range throughout the day, as the difference between open and close was -$0.17, and from the high and the low, was only $1.41.
Hopefully, you all were able to capitalize on the market momentum yesterday, and let’s see what happens today!
Heatmap - $SPY 11/27/2023
Thoughts & Comments for Today, 11/28/2023
Today, in my opinion, is going to be an extremely difficult day for the markets. We have consistently displayed strength over the previous couple of weeks, which makes it difficult to want to be bearish, but the markets are continuing to show signs of slowing down and starting to show signs of a reversal and bearish momentum. Is this what is going to happen? Who knows. But with the way the markets are looking at the moment, it is not looking strong going into the open, nor is it at a point where we look like we are going to continue to push.
This could easily be a fake-out in the short term to scare out a lot of traders before we continue to rip and rally, but realistically, we are not looking strong during the pre-market session, and it would not surprise me to see the markets start to come down here in the short term, mostly after the bullish momentum we’ve seen over the previous couple of weeks.
The first level of support on the daily chart we are seeing on $SPY is the daily conversion line. This is at $SPY $452.25, and it is a level that you should watch out for throughout the day. In the case that we break below this level, is the first sign of weakness we will see
I would not attempt to allocate long in these market conditions, mostly as a result of the general sentiment in the markets right now. Many organizations that people are actively looking at are highly overpriced, and with the weakness that is being displayed, there is not enough confidence to attempt to justify entries at this point.
This sentiment obviously does not apply to individuals who are looking to trade and scalp equities on an intraday basis, but just understand that the current placement we are seeing in the markets is not displaying confidence, and we are highly overpriced, where bearish sentiment, may be wrong in the short term as the markets are grasping for straws, but know on a larger timeframe, the markets do need to come down, and it is just a matter of time until we slip down and have a pullback in the markets.
Just also note, when I say we are due for a pullback, I am not saying that we are going to have an insane bearish movement in an extremely short period of time where we are testing the relative lows again, but more so of a general bearish movement which is a quick pull back, before there is confidence again of the markets moving back up. Possibly testing the $440 support or one of the different levels of technical support on the daily chart.
For my positions today, I do anticipate exiting some of my positions over the next couple of days. I am up nicely on my $DIS play, and with the current market conditions, I do anticipate exiting some more of that equity in the short term as I do believe we are going to see a nice-sized pullback, where I will use it as an opportunity to re-enter at a cheaper price. I also do anticipate attempting to capitalize on my bearish sentiment in the markets by either allocating into 0-DTE puts, or simply shorting shares of $SPY. I do not want to take on a significant amount of risk that I am not able to handle, but I want to get some bearish exposure for the day, as I am very confident that in the short term, we are about to see some bearish momentum.
Hopefully, my sentiment is wrong, and we will be able to see some continued bullish momentum in the markets, but realistically, I just want to be honest with the sentiment that is driven here, both in my report and my general statements. I want to provide you all with my honest opinion on the current market conditions for you to all make your own judgement.
If you want to watch any of my allocations, they will be posted live in the HaiKhuu Discord.
HaiKhuu Proprietary Algorithm Report:
Yesterday was an alright day for the algorithm. There was no significant movement or outperformance from any of the systems, which is unfortunate but understandable for the type of movement we had yesterday. We should have larger-scale quantifiable data that we can use to judge the performance of the algorithm and get a sentiment read soon, but please be cautious if you are taking any of the allocations we have for the day as a result of the current market sentiment.
The results of yesterday are as follows:
Baseline:
$SPY: -0.04%
Our Results:
Sector Neutral: +0.05%
Variable Sector Neutral: -0.01%
Long Term Portfolio: -0.1%
Market Neutral: -0.13%
Variable Market Neutral: -0.2%
Base Algorithm: -0.24%
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 11/28/2023
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 , $NVDA, $TSLA, $DIS, $AAPL, $MSFT, $F, $GM
Position Opportunities:
Trade the market momentum
Set stops in a guaranteed profit
Limit your downside risk
Hedge your positions
Consider getting bearish exposure
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $DIS / $DG / $KO
Long-Term Auto Sector - $F / $GM
Economic News for 11/28/2023
S&P Case-Shiller Home Price Index - 9:00 AM ET
Consumer Confidence - 10:00 AM ET
Fed’s Waller Speaks - 10:00 AM ET
Fed’s Goolsbee Speaks - 10:00 AM ET
Fed’s Bowman Speaks - 10:45 AM ET
Fed’s Barr Speaks - 1:05 PM ET
Notable Earnings for 11/28/2023
Pre-Market Earnings:
Pinduoduo (PDD)
Bank of Nova Scotia (BNS)
Elbit Systems (ESLT)
Canaan Inc (CAN)
After-Market Earnings:
CrowdStrike (CRWD)
Workday (WDAY)
Intuit (INTU)
Splunk (SPLK)
Hewlett Packard Enterprise (HPE)
NetApp (NTAP)
AZEK Co (AZEK)
Wrap up
This should be an interesting time for the markets. Highly consider getting hedges and some bearish allocations into your portfolio as a result of the general weakness we are seeing right now out of safety, and please just practice safe risk management. Don’t be overly ambitious, and trade within your means. Lots of traders are going to get wiped in a short period of time overtrading today, so be smart and safe. Protect your bottom line and make sure to tread lightly on these market conditions.
Good luck trading today, and let’s see what the markets have in store for us.