HaiKhuu Daily Trading Report

Good morning, and happy Thursday! The Santa Rally continues as $SPY is looking strong, and if we open at the price we are currently trading at, at the time of writing this report, that will be a $SPY new 52-week high! I hope you all are excited as we are continuing to edge closer and closer to a $SPY all-time HIGH.

This has been some amazing general market momentum with many great opportunities to allocate long into the markets and simply ride the market momentum. Continue to capitalize on this market momentum, take some smart positions, and do not fight this trend as we are continuing closer and closer to $SPY all time highs.

There are a lot of opportunities to realize a significant amount of gains with relative ease, so continue to take advantage of this bullish momentum in the markets and have some fun in the process!

Life is good, and the markets are great. Let’s end this year strong with a new All-Time high on $SPY!

Good luck trading today, and let’s see what Santa’s got for us!

The updated $SPY daily levels are as follows:
Conversion Line Support: $472.32
Baseline Support: $464.58
Strong Psychological Support: $470
Daily Cloud Support: $438.22

Thoughts & Comments from Yesterday, 12/27/2023

Yesterday was genuinely a confusing time for the markets. It presented us with many opportunities to trade but a significant amount of chop and general difficulties in the process. Many traders were able to realize some nice gains, but many other traders had extreme difficulties capitalizing on what was a relatively tight range for the markets. The intraday momentum was extremely slow, but the day went by very quickly and presented us with opportunities to trade both directions with confidence.

To start the day off, we watched as $SPY opened the day slightly red from the previous close, opening at $475.43, and watched as there was bullish momentum at open, but nothing of any major significance. The movement up was quickly sold off within the first hour of the day, and we remained relatively neutral around the open price of $SPY. Market momentum remained relatively slow through the lunchtime lull but picked up as volume started to come back into the markets, where $SPY went on to test the relative high of the day.

This movement really was not significant at all, but around 1 PM EST, we watched as the markets quickly rallied up to make a relative high of the day, trading right under $476.50, and remained at that level until 2 PM EST, when we watched $SPY crash down and make the official low of the day trading at $474.90.

When $SPY was down at the low of the day, that was an amazing opportunity to scalp towards the upside as it gave us a phenomenal dip buying opportunity, but it was difficult entering in at that point with confidence. We continued to chop and remain neutral around the open price for the rest of the day until the final minutes of powerhour.

During the final half hour of the trading day, we watched as $SPY looked extremely weak as it was coming down into close, being black on the day with no significant movement overall, to watch as $SPY quickly rallied within the final 10 minutes. $SPY went from trading at $475.20 to making the official high of the day in the final minute, trading at $476.66.

We ended the day with $SPY trading at $476.51, up $0.86 for the day, or up approximately 0.2%, with an intraday bullish movement of 0.23%. It was not a crazy day for the markets, but it provided us with many insane opportunities to realize a significant amount of gains. I think the craziest chart that I saw yesterday was the $476 0-DTE calls right before close. They were trading at $0.03, and as the markets rallied into close, they quickly popped up to $0.65. Within a ten-minute period, those contracts rallied 2,000%, and many people were able to realize a significant amount of gains. To put in perspective the move, if you simply allocated $200 into those $476 calls, you would have net roughly $4,500 before taking into account general commissions.

Wild time with a new 52-week high on $SPY yesterday. Let’s see what the markets have in store for us today and make some new 52-week highs before smashing a new all-time high!

Thoughts & Comments for Today, 12/28/2023

Today should be a fun day for the markets. With the strength that we see during the pre-market session, unless something significant happens with the pre-market economic news coming out, we should realistically open with a new 52-week high on $SPY. This is a great feeling, and I am excited that we are getting closer and closer to a $SPY all-time high.

As I have been saying, do not fight this trend. There is continued strength in the markets, and we can continue to move up with ease throughout the day. I am expecting a tighter range for the markets with chop across the board but many opportunities to trade. As we are edging closer and closer to a $SPY all-time high, I would be cautious and careful in these conditions. The lack of momentum is going to make it difficult to capitalize on the movement, and the general fear that people have of possible downside is keeping us from actively ripping right now.

Do not be bearish in these market conditions, and do not fight the trend. We will have an opportunity to short the markets within the given time, but we have to wait for a confirmation of a reversal prior to watching the markets push an all-time high.

Continue to capitalize on the opportunities that are available in these market conditions, and do what you can to maximize the opportunities that are available.

Be cautious if you are attempting to scalp in these market conditions as a result of the general momentum, as volume is relatively lower compared to what we normally see, but the momentum is going to be strong. You will have better success and consistency by allocating in the case you see an organization dip, and simply buying and holding strong positions.

There is going to be lots of opportunity in the markets today, so make some smart decisions, and practice safe risk management.

One thing I will warn you about heavily right now is not to get emotional or overtrade. People who are overtrading in these market conditions as a result of emotions are only going to snowball losses that are incurred as a result of these tough trading conditions. We will have lots of fun trading, but the emotional traders are going to have a tough, tough time getting over losses that are incurred while markets simply don’t move.

For my personal allocations today, the same sentiment remains across the board. I do not want to be overly aggressive in these market conditions, and I will look for opportunities to scalp and day trade when there is an opportunity to do so. I plan more so to enter into day trades and long equities, but if there is an opportunity to scalp and realize some quick gains, then there is no reason not to. If positions don’t look favorable, I will not trade or force any positions that I don’t have to. This has already been an amazing year for the markets and there is no reason to try and ruin that by taking on significant risk without reason.

If you want to watch any of my allocations, they will be posted live in the HaiKhuu Discord.

HaiKhuu Proprietary Algorithm Report:

Yesterday was a tough day for the markets, so it makes sense that the algorithms underperformed. It is nothing of major significance as margins were relatively tight between the three systems. There's nothing really to brag home about or be overly excited about. Just a slight underperformance that ultimately will come out in the wash, as the difference between all of the systems was within 0.15%.

The results of yesterday are as follows:

Baseline:

$SPY: +0.23%

Our Results:

Long Term Portfolio: +0.12%
Base Algorithm: +0.07%
Variable Market Neutral: +0.0%
Variable Sector Neutral: -0.01%
Sector Neutral: -0.11%
Market Neutral: -0.11%

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.

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, $BABA, $SOFI, $WMT, $SBUX, $TSLA, $NVDA

Position Opportunities:

Trade the market momentum
Take profit on positions
Limit your downside risk
Hedge your positions
Consider getting bearish exposure

LONG OPPORTUNITIES:

Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $KO
Long-Term Auto Sector - $F
Speculative Re-Entry - $DIS / $RIVN

Economic News for 12/28/2023

Jobless Claims - 8:30 AM ET
Wholesale Inventories - 8:30 AM ET
Pending Home Sales - 10:00 AM ET
7-Year Note Auction - 1:00 PM ET

Notable Earnings for 12/28/2023

Pre-Market Earnings:

None Scheduled

After-Market Earnings:

None Scheduled

Wrap up

This should be a fun day for the markets with this continued bullish momentum. Look out for opportunities to capitalize on the opportunities that are available with this Santa rally and continue to follow the momentum. Do not fight any trends, practice safe risk management, and limit your downside risk and exposure. Lots of traders are going to have an easy time, and people who do not practice safe risk management and overtrade are going to have an extremely difficult time. Make some smart gains, don’t get greedy, and have some fun today!

Good luck trading, and let’s see a new 52-week high on $SPY!

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HaiKhuu Daily Report 12/28/2023