HaiKhuu Daily Report - 12/04/2024
Good morning, and happy Wednesday!!! Wow, this week is flying by! Happy hump day, and I hope you all are ready for what is going to be an amazing time!
Market conditions are looking relatively beautiful at the moment, with $SPY trading above the previous all-time high, but these conditions are difficult to navigate with confidence.
Please continue to tread lightly but make the most of these conditions. Many traders will be provided with some great opportunities to trade, and others will, unfortunately, get burned in the process, so please be considerate when you are attempting to allocate in these market conditions and take advantage of the strength in these conditions! Make sure you are holding strong positions, and are practicing safe risk management in these conditions. It should not be hard to continually capitalize on the strength in the markets, so sit back, relax, and enjoy!
Good luck trading today, and let’s see a NEW all-time high on $SPY!
The updated $SPY daily levels are as follows:
Conversion Line Support: $594.48
Baseline Support: $586.11
Psychological Support: $600
Daily Cloud Support: $577.96
Thoughts & Comments from Yesterday - 12/03/2024
Yesterday was a rather interesting day for the markets. Conditions were difficult to navigate, but opportunities consistently presented themselves. We watched as $SPY tested an all-time high, and traders could have realized significant gains as $AAPL continued to rally. It was a great day, and everyone should have had a great time!
So, we started the day with $SPY opening at $603.40, down slightly from the previous close, and watched as $SPY continued to drop down throughout the entire morning, making the official low of the day trading at $602.37, leading into the lunchtime lull, but thankfully, we were able to see some strong bullish momentum towards the back half of the day, as the markets moved up slightly throughout the lunchtime session only to break out again ever so slightly leading into power hour, where we made the official high of the day trading at $604.15.
We watched as the markets dropped back down ever so slightly into close, where we officially ended the day with $SPY trading at $603.91, up $0.28 for the day, or up roughly 0.05%, but the thing that is extremely interesting to me is the fact that high to low, $SPY remained essentially within a +/- $1 range from the open price, where conditions have started to slow down and we have started to see momentum slow down. This is not a major signal, but it is something that will be interesting to consider, as these are some of the first signs that the markets are about to reverse… Let’s see what today has in store for us, and really just continue to tread lightly!
S&P 500 Heat Map - 12/03/2024
Thoughts & Comments for Today - 12/04/2024
Today should be another interesting time for the markets. With the markets trading above the previous all-time high at the time of writing this report, traders are going to be excited about these market conditions. I do want to warn you all about counting our chickens before they hatch. There is a significant amount of news as well as economic speakers, so expect to see some volatility in the markets as a result of everything. We could watch as $SPY rallies on the news or watch as there is a full correction prior to opening. Just know though, market conditions are looking strong, Crypto is looking strong, and traders today should be extremely excited.
As I have said before, I would not advise anyone to be bearish in these market conditions, but please continue to remain skeptically bullish and skittish if conditions are not favorable. There is no reason you should try and force yourself to allocate in conditions that are not favorable, but at the same time, just know that these market conditions are favorable and will provide us all with some amazing opportunities to trade and realize gains. If you miss out on a position, it is fine, as markets will remain favorable. If you miss a train, you don’t run on the tracks and try and catch it; sit back, relax, and simply catch the next train. It might suck that you missed your train but rather miss the train and catch the next one than run on the tracks and get run over by another train.
Please just continue to practice safe risk management in these conditions. Many traders are going to attempt to purchase at these levels, and that is not a terrible idea, but it is hard to purchase many of these heavily overpriced equity positions at their all-time highs with the anticipation that they are going to continue to move up. If anything, look to purchase strong equities that have a lot of potential at the price they are at and are undervalued accordingly.
One position that I alerted roughly two weeks ago has hit our entry price target. The position I am talking about is $INTC. Yesterday, I started to add to my $INTC position, but I will say that I entered more aggressively than I intended initially. At the moment, my position is only 200 shares and 5 leaps on the organization. It is nothing substantial, but it is a position that I am a fan of. it is just a matter of letting it play out here in the near future. $INTC is going to be announcing a new CEO inevitably one of these days, and this is a speculation both on the organization as well as who they decide as the CEO. Assuming they are able to get a killer, there should be no problem at all capitalizing on these opportunities.
For my allocations today, I will say that I personally intend to watch my positions do their thing. I currently am in for what I feel is max exposure in these market conditions, and now it is just a matter of watching the markets move and hopefully only continuing to positively benefit not only my account but limiting the amount of short-term risk that I am taking on while the markets are activating volatile. I still will be calling out positions, and if I find any I am extremely interested in, I will allocate accordingly, but personally, I do not intend on trading short-term positions in these conditions due to the ongoing risk! Simply going to be holding strong positions and letting the markets take me for a beautiful ride.
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, $INTC, $DG, $RIVN, $GRYP, $TSLA, $NVDA, $BA, $AIFF
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $INTC / $DG / $SHAK / $BA / $RIVN
Economic News for 12/04/2024 (ET):
ADP Employment - 8:15 AM
St. Louis Fed President Musalem speaks - 8:45 AM
Services PMI - 9:45 AM
Factory Orders - 10:00 AM
Fed Beige Book - 2:00 PM
Notable Earnings for 12/04/2024
Pre-Market Earnings:
Chewy (CHWY)
Foot Locker (FL)
Dollar Tree (DLTR)
Royal Bank of Canada (RY)
Cracker Barrel Old Country (CBRL)
Campbell Soup (CPB)
Daktronics (DAKT)
Hormel Foods (HRL)
SecureWorks (SCWX)
THOR Industries (THO)
After-Market Earnings:
SentinelOne (S)
American Eagle Outfitters (AEO)
Synopsys (SNPS)
ChargePoint (CHPT)
Five Below (FIVE)
AeroVironment (AVAV)
Greif (GEF)
PVH (PVH)
Wrap up
Hopefully, markets only continue to rally and provide us with some amazing opportunities to capitalize on these conditions. Please tread lightly and practice safe risk management. Many traders are going to realize a significant amount of gains while watching their positions continue to rally, so make smart positions, hold smart positions, and just have a great time in the process!
Good luck trading, and let’s see where $SPY takes us!