HaiKhuu Daily Report 6/06/2023
Good morning and happy Tuesday traders! Hope you all are feeling amazing this morning and are ready for what should be a rather interesting time in the markets. The big question I want to pose to you all today. Is the symphony slowing down into its final act? Or was this the final crescendo? For those who didn’t read the report yesterday, I brought up the analogy that the markets are like a symphony, and the music was beautiful and there was a lot of strong bullish momentum over the previous couple of days, but is the final swan song coming to an end and are people going to rush to the door? Or is this just the interlude into the next piece? Your prediction is as valid as mine.
The momentum is slowing down on $SPY, but semiconductors are still looking relatively strong, while $AAPL has hit a new all-time high, but has fallen 3% from that point. The market is going to come down soon, but it is a matter of when will there be a shift in market momentum and an opportunity for the bears to capitalize on this inflated price of equities.
Remain fluid with your allocations but remember to tread lightly. Continue to follow the momentum in the markets, but tread lightly as conditions will shift soon. This is just something to consider in these current market conditions and is something you should contemplate in the short term.
Continue to make smart decisions in these market conditions and realize some gains when given an opportunity to do so.
Good luck trading today everyone and let’s make some BANK!
Thoughts & Comments from 6/05/2023
Yesterday was an extremely interesting time for the markets. Right at open, we saw a significant amount of chop and volatility on the one-minute chart, in a way where we have not seen momentum in a LONG time. It was quick shots from the market makers that impacted EVERYONE’S ability to scalp right around open. Anyone who has any limits was tested, and anyone who was not as quick as those major institutions lost money in the process. $SPY started the day trading at $428.38, looking relatively strong, despite trading only slightly higher than the previous close of $427.92. After the insane chop slowed down early in the morning, we watched as $SPY dropped to the previous close price, before going on an absolute tear going into the Apple event. It was a slow and steady climb, but $SPY continued to make new official highs of 2023.
Going into the Apple event, $AAPL made a new all-time high trading at $184.95, right under the $3T mark, making its market cap larger than the total wealth of countries like Sweden, Iran, Saudi Arabia, and Denmark.
The Apple event itself was extremely exciting as it released a lot of products that were cool, but out of the majority of individuals’ realistic price range. They released the Apple Vision Pro, their version of an AR/VR headset at a staggering price of $3,499.
As you all can assume, the event was a success but did not have ANY positive impact on the share price. During the event into close, $AAPL dropped a total of 3% from the all-time high, closing the day trading at $179..58, down 0.76% for the day.
This obviously impacted the performance of the general markets too, as you can see exactly where the Apple event happened when looking at the charts on $SPY. $SPY dropped approximately 0.6% from the top into the market close, not all directly as a result of the Apple event, but the majority of the losses incurred were a direct result of Apple.
$SPY ended the day trading at $427.10, down $0.82 from the previous close, or down approximately 0.2%, with an intraday bearish movement of -0.28%. It was an amazing day for the markets providing an opportunity to trade many stocks to their new all-time high, or ride the bull wave to the new high of the year on $SPY, and provided the bears with an opportunity to short the momentum and watch as the markets come down.
Let’s all see what happens in the markets over the next couple of weeks, there should be a significant amount of bearish momentum that will impact the performance of the markets in the short term, but will provide us with many great opportunities to actively trade and realize some gains in the process!
Thoughts & Comments for Today, 6/06/2023
Today should be an interesting time for the markets. At the time of writing this part of the report, $SPY is trading slightly below the previous close, which is not a sign of weakness, but it shows us that the momentum is slowing down. Is this a sign to panic and sell your positions and be bearish? No not at all, I would not recommend going 100% bearish just because of this, but I would advise caution in the current market situation, but look to follow the momentum in the markets.
Expect to see a lot of chop in the markets in the coming future, and know that historically, tomorrow is a bearish day for the general markets. Look to take profits on equities when given a chance, and hedge your positions while VIX is at lows and equities are looking strong, as I personally do expect to see a significant amount of bearish momentum here in the near future.
Again, as I said before. Just because I see bearish momentum coming up soon, does not mean you cannot capitalize on the momentum now. I am shifting my personal recommendations from looking to day trade instead of scalping, look to scalp actively in these market conditions. There will be good opportunities to day trade in these conditions, but it will be extremely difficult to nail what you perceive as either the top or the bottom. It will be a lot easier to spot short-term opportunities to realize some gains, so do that and wait until there is a major shift in market momentum prior to attempting to go extremely bearish in the markets.
I know I sound like a broken record bringing this up continually, but please continue to prepare for the summer session. We are expected to see a significant amount of bearish momentum in the near future, it is just a matter of when the shift in momentum happens, and how sustainable that downside is. I am personally preparing for some major downside by entering into longer-dated calls (leaps) and looking to get some short-term puts to capitalize on the bearish momentum in some general indices. I would highly recommend either researching organizations that you believe are overvalued (Semiconductors and companies that have been impacted by AI hype) and looking to capitalize on the potential you are able to generate by shorting either their equity or by increasing risk and getting puts on those organizations.
This should be an interesting time for the markets, so please continue to tread lightly and attempt to capitalize on the opportunities available to you by realizing gains in the short term and by looking to get some bearish allocations to capitalize on the downside momentum here in the near future.
Continue to be smart, realizing gains when given an opportunity to do so, and tread lightly on these conditions. The markets are amazing now, but will be tough in the near future.
If you want to watch any of my allocations, they will be posted live in the HaiKhuu Discord.
HaiKhuu Proprietary Algorithm Report:
Despite the bearish momentum in the markets yesterday, everything was able to outperform the markets and remain profitable yesterday. I am very happy with these results. Our fundamental analysis worked out perfectly on a day like yesterday, generating slight profits but nothing of major significance, our technical analysis outperformed the fundamental analysis it is built on, and then the neutral strategies performed beautifully in the process of everything. It was a tough day for the markets, but riding our allocations provided us with an amazing opportunity to capitalize on the momentum and opportunities in the markets. I am very happy with these results and am excited to present them all to you today.
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of yesterday are as followed:
Baseline:
$SPY: -0.28%
Our Results:
Market Neutral: +0.79%
Variable Market Neutral: +0.55%
Sector Neutral: +0.54%
Variable Sector Neutral: +0.42%
Base Algorithm: +0.37%
Long-Term Portfolio: +0.02&
With market conditions being in a tough spot right now, I say that you still should look to attempt to utilize these alerts in real-time, but look to tread lightly on these market conditions and practice safe risk management in the process. Limit your downside risk and exposure and make sure to always set stop losses incase. Do your own due diligence prior to entering into these positions, and increase your limits to guarantee profit as soon as possible.
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 6/06/2023
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 , $AI , $NVDA , $TSLA , $GOOGL , $AMD , $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 6/06/2023
No economic event scheduled
Notable Earnings for 6/06/2023
Pre-Market Earnings:
ABM Industries (ABM)
Academy Sports and Outdoors (ASO)
Ciena Corp (CIEN)
Core and Main (CNM)
Ferguson (FERG)
JM Smucker (SJM)
THOR Industries (THOR)
Hello Group (MOMO)
Chico’s FAS Inc (CHS)
After-Market Earnings:
Caseys General Stores (CASY)
Dave and Buster’s (PLAY)
Yext, Inc (YEXT)
Couchbase (BASE)
Wrap up
Overall, just be smart in these current market conditions. There are going to be many opportunities to scalp and trade in the short term, but please continue to tread lightly in these market conditions. Things are going to get worst for the markets, it is just a matter of time. So capitalize on the opportunities that are available in these market conditions and do what you can to maximize your profit potential. Make some smart plays, realize some gains, and start hedging your account. This is an amazing time to hedge your account.
Good luck trading, and I hope you all have some fun today!