HaiKhuu Daily Report 5/23/2023

Good morning and happy Tuesday! Hope you all are hyped for trading today. At the time of writing this report, $SPY is relatively flat with no significant movement in either direction. This is worrisome going into today as $SPY is at a breakdown or break-out point. We need significantly more confidence in the markets in the short term to sustain this momentum and movement in the general markets. Things obviously could be significantly better in the short term, but we are in dire need of volume and momentum for the markets to maintain this $420 level. There is enough volume in the markets that is not currently allocated for us to break above and hold this $420 level, the question now is if we are going to be able to break through and hold, or if we are going to reject and come back down to the previous support level of $410, or come down even harder.

Please continue to tread lightly and make smart decisions in the meantime, but capitalize on any and all of the opportunities that are presented to you at this time while there is confidence in the markets. Continue to prepare for this summer session and beware of the choppy market conditions that are coming up. Make sure to practice safe risk management, but do what you can to maximize your profit potential.

Just a quick reminder that historically, Thursday is a bullish day for the general markets, next week is historically a bullish week for the markets, and we have Monday the 29th off for Memorial Day!

Good luck trading today, and let’s make some BANK!

Thoughts & Comments from 5/22/2023

Yesterday was an absolutely insane day for the general markets. Market conditions were extremely choppy and provided us with some interesting opportunities.

We opened the day with $SPY trading at $418.62, with relative strength and confidence in the markets. The markets moved up quickly and we went on to make the official high of the day trading at $420.39, with $SPY slightly above the $420 resistance it provided us with slight confidence, but not enough buying momentum to sustain $420.

This was not the insane part of the day. Right around 10 am EST, we watched as the markets dropped heavily on news that there was a massive explosion at the Pentagon, causing a significant amount of selling that negatively impacted the markets, and we watched as $SPY made an official low of the day trading at $418.62.

The news was proven to be fake. It was crazy to see how the markets were negatively impacted by this news, even though it was never confirmed to have happened, and we watched as the markets bounced back quicker than we sold off. This was an amazing opportunity to trade, but it was extremely risky in the process.

For the rest of the day, $SPY remained relatively neutral with lots of chop, but consistently hovering between $419/$420 for the large majority of the day.

Going into power hour though, we did watch as $SPY moved up and made a relative high again testing $420 slightly before coming down for the large majority of power hour. The sell-off was not significant in the grand scheme of things but was not favorable going into close. We ended the day officially with $SPY trading at $418.79, up $0.17 for the day, or approximately up 0.041% from the previous close, with an intraday bullish movement of +0.04%.

It was a very difficult day to actively trade with a significant amount of chop and fake news. Navigating the markets was extremely tough, and I hope you all were able to do it with relative ease. If you ultimately were not able to capitalize on the opportunities presented to you, C’est la vie, life happens, but if you were able to realize some gains while actively trading yesterday. Give yourself a pat on the back as that’s very difficult.

Thoughts & Comments for Today, 5/23/2023

Today should be an interesting day for the general market. I will say this again, but please tread lightly on these market conditions. There is a very good chance that within the next couple of days, we see some bearish momentum that will be devastating to a lot of traders in the short term, but in the grand scheme of things will provide us with an amazing opportunity to load up on solid equities with confidence and move on with life. As long as you practice safe risk management while actively trading, and doing everything that you can to minimize your downside risk potential you will be fine.

I just wanted to start off with that warning as a lot of people need to hear that in the short term. For now, though, there is a lot of confidence in the general markets that will provide us with great opportunities to actively trade and realize some gains in the short term. Do what you can to take advantage of this momentum in the markets, but just continue to be safe and practice safe risk management, as in the short term, we are expecting to see a significant amount of chop that will make it difficult to trade. If you are trading, I would highly recommend that you stay away from attempting to actively scalp as it will be difficult doing so with confidence in these market conditions assuming you are not following the momentum. Look for opportunities to day trade and follow momentum. The best play, in my opinion, is finding an organization that has come down in the short term and is showing signs of reversal at the bottom, and riding the momentum up while market conditions are looking relatively strong.

In the case that the markets start trending down in the short term, look to cut the open trades you are making, sit back, and relax. Do not attempt to catch any falling knives in these market conditions as you will get cut on the way down, because if momentum is trending down, we will continue to make new relative lows until the bleeding stops and we show a sign of reversal.

Please just practice a significant amount of risk management right now as I am hearing a lot of conversation about how the bull market is forming and how things are looking exceptionally strong right now, despite us being in an extremely terrible time to allocate into the markets. I am expecting to see a lot of the people that are hyper-bullish over the next couple of weeks get absolutely slaughtered as a result of market conditions.

Take advantage of the situation we are currently in, but as I said before, please practice safe risk management and tread lightly, as conditions are going to be smooth sailing until we are not, and when that happens, a lot of equities are going to be like the Titanic and sink extremely quickly, leaving very few survivors.

Continue to prepare for the summer session and look to open up some bearish allocations right now at the relative top by either shorting general equities or getting puts against some organizations or general indices, while hedging your account. In the worst case scenario, your equity continues to go up in price, and the hedge loses most if not all of its value, and you yell at me saying your gains were minimized as a result of me recommending to hedge, or in the best case scenario for a hedge, the markets go to absolute hell and back within the next couple of weeks, and then the losses are minimized as you properly hedged your account and are very thankful that you did not have to navigate this BS when certain equities fall between 10-20% over the next couple of weeks.

This is all obviously speculation, so take anything I say with a grain of salt, but a solid recommendation from someone who’s had a decent amount of market exposure.

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 both the markets and the algorithms alike. We underperformed in comparison to the markets and as a result, we have now shifted to a new base set portfolio that is not built around safety. This should increase the risks associated with the allocations, with this being slightly higher beta allocations that would do well assuming market conditions are optimal. We will be live-testing this system out over the next couple of days/weeks so please be careful taking any of these allocations in the short term until we are fully functional and are confident that this works as expected. Should be interesting seeing this allocation shift going into the summer session and preparing for the bullish momentum we all are expecting towards the end of the year.

To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!

The results of yesterday are as followed:

Baseline:

  • $SPY: +0.04%

Our Results:

  • Market Neutral: -0.17%

  • Variable Market Neutral: -0.17%

  • Base Algorithm: -0.23%

  • Long Term Portfolio: -0.38%

  • Sector Neutral: -0.42%

  • Variable Sector Neutral: -0.54%

As I said before, this is a new subset of tickers we are actively utilizing. I am confident in the system and the analysis behind the system, but for now please be extremely careful and cautious if you are deciding to allocate towards these positions. This is a LIVE test of a new portfolio that we’ve been working on. As always, please do not blindly enter into any allocations and make sure to practice safe risk management in the process of everything. There is a significant amount of risk involved with entering into any of these positions right now. Everything is valid from a technical analysis standpoint, but we would feel more confident with some live testing data. If this test is unsuccessful, we will switch back to our old portfolio.

Please be smart with these allocations and ONLY allocate into positions you are confident in at this time.

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 5/23/2023

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, $GOOGL, $BABA , $AAPL , $MSFT

Position Opportunities:

  • Hedge the positions you want to hold

  • Set stops in guaranteed profit for any position you are in profit in

  • Cut all positions you are not comfortable holding

  • Exit positions you are comfortable taking profit on

LONG OPPORTUNITIES:

  • Long-Term Dividend - $GAIN

  • Long-Term Riskier EV Play - $RIVN

Economic News for 5/23/2023

  • Dallas Fed President Lorie Logan speaks - 9 AM ET

  • S&P flash U.S. services PMI - 9:45 AM ET

  • S&P flash U.S. manufacturing PMI - 9:45 AM ET

  • New home sales - 10 AM ET

Notable Earnings for 5/23/2023

Pre-Market Earnings:

  • Lowe's (LOW)

  • AutoZone (AZO)

  • Dick's Sporting Goods (DKS)

  • BJ's Wholesale (BJ)

  • Vipshop Holdings (VIPS)

  • Williams-Sonoma (WSM)

  • Endava (DAVA)

  • IHS Holding (IHS )

  • Seadrill Limited (SDRL)

  • Kingsoft Cloud Holdings (KC)

After-Market Earnings:

  • Intuit Inc (INTU)

  • Palo Alto Networks (PANW)

  • Agilent Technologies (A)

  • VF Corporation (VFC)

  • Toll Brothers (TOL)

  • New Relic (NEWR)

  • Urban Outfitter (URBN)

  • Hesai Group (HSAI)

Wrap up

Please be smart and safe in these current market conditions and expect to see a significant amount of chop making it difficult to actively navigate the markets with confidence. Follow the money and follow the momentum. Do not fight any trends and do what you can to minimize risk while maximizing profitability. Tread lightly on these current market conditions as we believe there will be many great opportunities to trade in the short term, but many opportunities to get absolutely decimated in the process of everything. So be smart, be safe and do what you can to realize some gains!

Good luck trading, and I hope you all make some bank today!

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Algorithm Data: 05/23/2023

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Algorithm Data: 05/22/2023