HaiKhuu Daily Report 5/30/2023
Good morning and happy Tuesday! Hope you traders all enjoyed your long weekend and are excited for what is historically a very bullish week for the general markets! Markets are up nicely at this time, with $SPY trading at $422.50 at the time of writing this report! This has been an absolutely insane month for the general markets and I hope you all have realized a significant amount of gains in the process of everything. Please be careful and continue to capitalize on the momentum in the markets while it is here because the summer session is among us. Prepare for the worst, but take advantage of the momentum in the markets now while it’s still here.
Good luck trading this week everyone, and let’s make some bank!
Thoughts & Comments from 5/26/2023
Last week was an interesting time for the general markets with a significant amount of chop that heavily impacted people’s ability to trade, and a significant amount of bullish momentum, that provided some traders with a significant amount of realized gains. The overall movement in the market was not significant over the course of the week, as $SPY only moved up approximately 0.3%, but we saw a lot of general movement.
We started the week off with $SPY trading right below the $420 resistance level, opening the week trading at $418.82, and remained relatively neutral around that mark until we rejected it, providing us with a significant amount of bearish sentiment in the markets. $SPY went from testing $420 to coming back down to the magnet zone in the $410 area. Markets hovered around $410 on Wednesday and the markets looked extraordinarily weak at that time, where $NVDA earnings were going to be a make or break for the overall markets. A lot was riding on their earnings, and thankfully they nailed it out of the park. As a result of these positive earnings, $NVDA moved up approximately 30% and brought a significant amount of bullish sentiment back into the retail markets, and we watched as the markets continued to climb afterward.
Organizations like $NVDA, $GOOGL, $AMD, and $MSFT created new 52-week highs, while $NVDA made a new all-time high as a result of the AI hype. This bullish sentiment is amazing, I am personally just fearful of when the hype comes to an end and results in organizations that are overvalued at the moment when they come down significantly, but in the meantime, look to take advantage of the bullish momentum while it is here.
Thursday was an alright day to follow up the momentum and sentiment of Wednesday after hours, as we didn’t see too much selling as the aftermath of $NVDA earnings, but Friday was an amazing day for the general markets to end the week strong.
On Friday, the markets looked slightly stronger than Thursday's close at open, as $SPY started trading above the previous close price, opening at $415.38. We saw a slight dip on the first candle of the day, where we made the official low of the day with $SPY trading at $415.25, and watched as $SPY went on an absolute TEAR going into the long weekend. $SPY quickly moved up within the first half hour of the day and continued to move up with relative strength until close. Between the lunchtime lull and power hour, $SPY did remain relatively flat and choppy right under the $420 resistance level, but provided enough confidence as before power hour started, we finally broke above $420 and retained it with confidence until close.
We ended the week with $SPY trading at $420.02, slightly above the $420 support level. $SPY moved up $5.37 from the previous close on Thursday, or up approximately 1.3%, with an intraday bullish movement of 1.13%. This movement up was significant as it will provide us with enough confidence to start this week off strong.
I hope you all were able to capitalize on the momentum and opportunities that were available to you last week and were able to realize a significant amount of gains in the process. It was a difficult week for the general markets but provided us with many amazing opportunities to take advantage of the momentum.
Continue to be smart while actively trading right now, and do what you can to maximize your profit potential!
Thoughts & Comments for Today, 5/30/2023
Today should be an interesting time for the general markets. As I have been saying before, please be careful in these current market conditions. Look to take advantage of this momentum while it is in the markets and capitalize on the opportunities available, but please tread lightly as the summer session is among us. This next week historically is a VERY bullish week for the general markets, so it will provide us with many opportunities to realize some gains but do not forget that the summer session is among us and that market conditions are not going to remain optimal forever.
Day trading when there is confidence in the markets will be more optimal than actively attempting to scalp the momentum. Look to be patient and enter optimal trades to minimize the risk of getting stopped out via chop, and exit your position when there is either a confirmation of a reversal at the top or you are personally happy taking gains on your position.
Do NOT get greedy in these market conditions, but let your winners continue to win. The best move you can do at the moment is to set a stop in guaranteed profit and continually increase that stop to guarantee more profits.
Be safe, and look to slowly hedge your portfolio and look to get some bearish allocations and shorts towards the end of the week. Cash will continue to be king as market sentiment slowly shifts, but make sure to tread lightly and prepare for the literal worst-case scenarios. Obviously, this is speculation and market conditions are looking strong at the moment, but they are only going to remain strong until there is a shift in momentum, which can happen extremely quickly.
Watch for a breakdown on $SPY when $SPY breaks below $420, this will be a major shift in confidence and optimism, but until then, continue to capitalize on the opportunities that are available to us while there is relative strength. $NVDA is trading above $400 right now, which will result in a significant amount of bullish momentum in the short term, so do not attempt to fight any trends. Semiconductors are going to be a leading indicator for market conditions in the short term, so do not attempt to fight any trends while semiconductors are continuing to run.
Semiconductors are extremely overvalued at this moment as a result of AI-based hype in the markets right now, but just because we are correct about the sentiment, does not mean we are correct in regards to the timing of our positions. Continue to make smart plays, but do not pull the trigger too early as you will get burnt in the process of attempting to allocate into any type of short position.
Just continue to take advantage of the opportunities available in these current market conditions and continue to realize gains where possible. Do not fomo into the semiconductor hype at this point, but watch them to continue as a leading indicator for retail sentiment in the markets.
If you want to watch any of my allocations, they will be posted live in the HaiKhuu Discord.
HaiKhuu Proprietary Algorithm Report:
Last week was an interesting time for the performance of the general algorithms as a result of a shift in market conditions and reallocations in the main portfolio. I am interested to see how the shift in the allocations in the portfolio shift general confidence over the next couple of weeks. It should be a great time to see the performance continue to do well with the new allocations, but I want to see more results from the live test prior to having extreme confidence in its performance.
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of last week are as followed:
Baseline:
$SPY: +0.09%
Our Results:
Variable Market Neutral: +0.59%
Market Neutral: +0.53%
Base Algorithm: +0.52%
Overall Market: +0.09%
Variable Sector Neutral: -0.75%
Long Term Portfolio*: -0.87%
Sector Neutral: -1.0%
With this live test of the new portfolio and allocations across the board, I will continue to advise caution when attempting to take on any of these positions for your intraday trades. These positions should do phenomenally, but we are looking to take on more risk than the previous portfolio that was created. Please note that in the case the market conditions are optimal and we see a significant amount of movement from market open to close, this portfolio *should* do well, but in the case that market conditions are not optimal, expect to see it underperform in comparison to $SPY. Please make sure to practice safe risk management with all of these positions to limit your downside risk, and do anything and everything that you can to increase your profit potential. Make sure to set a stop in guaranteed profit and realize gains when you are comfortable doing so.
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 5/30/2023
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, $AMD, $TSLA , $RIVN, $GOOGL, $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 5/30/2023
S&P Case-Shiller home price index (20 cities) - 9 AM ET
Consumer confidence - 10 AM ET
Richmond Fed President Barkin speaks - 1 PM ET
Notable Earnings for 5/30/2023
Pre-Market Earnings:
Gaotu Techedu (GOTU)
Elbit Systems (ESLT)
Skyline Corp (SKY)
Carlyle Group (CG)
After-Market Earnings:
HP Inc (HPQ)
Hewlett Packard Enterprise (HPE)
U-Haul Holding Company (UHAL)
Box, inc (BOX)
Ambarella (AMBA)
JOYY (YY)
Noah Holdings (NOAH)
Wrap up
Overall, be smart in these market conditions. Follow the momentum, do not fight any trends, and continue to tread lightly on these market conditions. Do what you can to capitalize on the opportunities available to you, and do what you can to increase your profit potential in the short term. Realize gains when given an opportunity to do so and do not be greedy in these market conditions. Lots of traders are going to make a significant amount of money, and a lot of traders are about to lose a significant amount as a result of either over trading, or attempting to fight the trend. Make smart decisions, and realize some gains.
Good luck trading, and I hope you all make some BANK this week!