HaiKhuu Daily Report 5/05/2023
Good morning and happy Cinco De Mayo! Hope you traders are excited about the market momentum today as a result of Apple earnings beating expectations yesterday. There was no absolutely insane movement in Apple, but at the time of writing this report, Apple was up a little bit above 2.5%. We have a significant amount of economic news prior to markets opening, heavily impacting sentiment.
Look to sell some 0-DTE CSPs today to capitalize on the high premium as a result of cheaper equities and an increase in VIX. You will not make insane realized gains via doing this, but you will be able to realize some gains as a result of making a smart position and capitalizing on an opportunity to collect premium.
Please be smart during this time but capitalize on all of the trades that are available to us. Today should be filled with many opportunities to actively trade and realize some gains, so ride the momentum in the markets.
Be careful about the chop we will experience today, and do what you can to realize some gains in the process.
Good luck trading today, and let’s end this week on a strong note!
Thoughts & Comments from 5/04/2023
Yesterday was an interesting and extremely choppy time for the general markets that provided us with many great opportunities to trade and many opportunities to get burnt. It was a tough time for many traders but provided some traders with the ability to realize some significant gains by allocating into the correct positions.
Going into open, the markets did not have the most confidence, as we opened the day with $SPY actively trading at $406.91, down from the previous close of $408.02. The movement down was not significant, but it dictated how the performance of the day was. We lacked confidence in the markets, and as a result of that, we had a tough time throughout the trading day.
$SPY quickly came down right after open, and continued to fall for the first hour of the day, where we went on to make an official low of the day, trading at $403.74, which was a five-day low on $SPY. It was a tough time that did not provide us with confidence but provided us with an opportunity to trade.
As expected, once we hit that bottom and scared a lot of traders, the markets moved back up, making a relative high trading right above $406, before getting shot back down to the $404 range during the lunchtime lull.
Once volume and momentum came back into the markets, we pushed from the low to make an official high of the day, trading at $407.25, still down from the previous close but green from open. This momentum was unfortunately short-lived as, despite this relative confidence, selling was too substantial, and we continued down pretty much all the way into close. We chopped around in the process around the $405 support level
We ended the day with $SPY trading at $405.13, down $2.89 from the previous close, or approximately 0.71%, with an intraday bearish movement of -0.42%.
It was a tough day for the markets that was extremely choppy but provided us with some amazing opportunities to realize a significant amount of gains. I hope you all were able to capitalize on the choppy momentum in the markets and realize some gains in the process of everything. Today should be a great day for the markets as a result of us closing above the $405 support level and $AAPL earnings coming back good. Let’s watch for $SPY 410 today and possibly even a larger breakout afterward.
Thoughts & Comments for Today, 5/05/2023
Today should be a more interesting day for the general markets. As I said before, I do expect today to be a significant more optimistic day than we’ve had over the previous couple of days as a result of $AAPL earnings, but everything will be heavily impacted by the performance of the markets as a result of pre-market economic news. Assuming that everything looks optimistic in terms of employment numbers, we are in for a great day. Max pain at this point is $408, but it would not surprise me that throughout the day, we magnet back to the $SPY 410 range, providing us all with an amazing opportunity to realize some gains with relative ease in the process of everything.
As I said before, look to sell some 0-DTE csps right now. Vix is still relatively high, providing us with an opportunity to sell some premium, taking on little to no risk as possible. You will not make any life-changing money as a result of selling premium today, but you will be able to easily and happily make some free lunch money with relative ease.
Continue to look for opportunities to actively day trade and scalp throughout the day. I personally am expecting to see a significant amount of chop that will impact people’s ability to consistently realize some gains, but in the grand scheme of things, you should do fine as the market conditions will be optimal for anyone who is allocating wisely today. There will be many great opportunities to buy solid equities and hold throughout the day to realize some gains, as well as provide many scalp opps for anyone who is looking to actively scalp throughout the day. Everything will come down to timing and skill allocating at the proper time.
Only trade when you have confidence in your personal position, and do not force any trades today. As always, practice safe risk management and do not do anything to increase your risk potential at this moment. You should consistently be decreasing the amount of risk you are taking at this moment and holding cash when you can. Winning on the market is fun, but it is more fun realizing some gains.
Do not let your emotions impact your trading today. Do not FOMO back into any play you may have missed out on, and do not let your losses cause to to force any trades. Only enter positions you have confidence in and continue to make good plays. Look to decrease risk and realize some gains while trading today. Maximize your potential for gains and just make some smart decisions.
Good luck trading today you beautiful people.
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 difficult day for any buy-at-open-sell-by-close strategy as a result of the movement in the general markets. Despite this, we are happy with the performance across the board. Our fundamental analysis outperformed $SPY by a slight margin, and unfortunately, the base algorithm underperformed slightly. It did not get beaten out by a large enough margin to cause any concern, and with the performance that it has had across the board this week, we are still happy to see that the system is working as expected. We may have days of underperformance, but on a weekly and monthly basis, the systems continue to outperform the markets.
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of yesterday are as followed:
Baseline:
$SPY: -0.42%
Our Results:
Sector Neutral: -0.16%
Market Neutral: -0.21%
Variable Sector Neutral: -0.33%
Long Term Portfolio: -0.37%
Variable Market Neutral: -0.4%
Base Algorithm: -0.56%
With the current sentiment in the markets, most of these positions should do well today, so be on the look out for opportunities to capitalize on the momentum in the markets and utilize these positions as an opportunity to cherry-pick the plays that you are the most comfortable and confident in. Lots of organizations over the course of today should do well, so make sure to do your own due diligence prior to entering into any of these positions, and make sure to set stops to limit your downside risk when entering into any of these plays.
Take the consistent base hit and move on with your life with a relatively easy win.
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 5/05/2023
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 , $RIVN , $AAPL , $TSLA , $NVDA
Free Equity List:
Safe - $SPY
Risky - $RIVN
Position Opportunities:
Hedge positions you want to hold
Set stops in guaranteed profit for any position you are in profit in
Start exiting positions you are comfortable taking profit in
Cut all positions you are not comfortable holding
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN
Long-Term Riskier EV Play - $RIVN
Economic News for 5/05/2023
U.S. employment report - 8:30 AM ET
U.S. unemployment rate - 8:30 AM ET
U.S. hourly wages - 8:30 AM ET
Hourly wages year over year - 8:30 AM ET
Consumer credit - 3 PM ET
Notable Earnings for 5/05/2023
Pre-Market Earnings:
Enbridge (ENB)
The Cigna Group (CI)
Dominion Energy (D)
Johnson Controls International (JCI)
AES Corp (AES)
Ameren Corp (AEE)
American Axle (AXL)
Cboe Global Markets (CBOE)
AMC Entertainment (AMC)
Brookfield Renewable Partners (BEP)
Wrap up
Overall, look to capitalize on all of the opportunities that will be available to you today. The easiest way to capitalize on the momentum in the markets at the moment is to sell some 0-dte CSPs on organizations that have high premium. You will not be able to make a significant amount of gains as a result of this, but you will be able to realize some gains going into the weekend. Be smart while trading today as there will be a lot of chop, but the chop will provide you with many many great opportunities to day trade and scalp. Be smart, realize some gains, and have some fun in the process of everything.
Good luck trading, and have a great weekend!