HaiKhuu Daily Report 6/21/2023
Good morning and happy Wednesday! Can you already believe it is humpday? Hope you all are hyped for the markets today and are excited to see what happens. Markets are relatively neutral at this point with no major direction or movement in the pre-market session. We do not have any economic news today, but we have Jerome Powell testifying in front of the House today, which should be an interesting time for the general markets and provide us with volatility and momentum while he speaks. So please be on the lookout for when that happens. Hopefully, while he speaks we do see some volatility because it will be tough if we literally do not see any movement in the general markets.
Please be careful trading around this event, but look to capitalize on the opportunities available to us in the short term. Follow the momentum and do not fight any trends.
Good luck trading today and let’s make some bank together!
Thoughts & Comments from 6/20/2023
Yesterday was an interesting and tough day for the general markets. To start the day off, we had $SPY trading at $437.50, down from the previous close of $439.46. Markets were not looking strong, but we went on to test $438 at the beginning of the day. Despite this slight movement up, markets did not have much confidence or strength, as right after testing $438 from open, we dropped extremely quickly. Within the first half hour of the day, the markets took an extreme dip, coming down to test the $435 support and making the official low of the day trading at $435.04. We dropped approximately 0.44% from open and were down approximately 1% from the previous close.
This was a tough look for the general markets, but it provided us with some phenomenal opportunities to actively trade to the bearish side and realize some gains in the process. The markets slowly recovered from the dip as people started to come back from the lunchtime lull, and once we started recovering, we moved up extremely nicely, recovering all of the losses that were incurred, and went on to make an official high of the day trading at $438.37.
We did watch as the markets slowly downtrend after making the high of the day, where $SPY did not provide many opportunities to trade into close and ended the day relatively black after the movement down early in the morning, and the general recovery we saw into the market close.
The day ended with $SPY trading at $437.18, down $2.28 from the previous close, or down approximately 0.52%, with an intraday bearish movement of -0.05%.
It was a nasty day for the general markets with a significant amount of bearish momentum and chop, but opportunities to play both directions. Hopefully, you all were able to capitalize on the opportunities that were available for us to trade in the process.
Let’s all hope that today is a better day for the general markets that provide us with more opportunities to trade
Thoughts & Comments for Today, 6/21/2023
Today should be a toss-up of a day for the general markets. Momentum is slowing down as people are not as confident as prior in the general markets. If Jerome Powell was not speaking today, I would personally guess that the markets ultimately end up red for the day, but with Jerome Powell speaking, there is such a toss-up on how the markets are going to move, that it is difficult to gauge which direction the markets are going to move today.
Look to capitalize on the opportunities available in the markets at the moment, but be cautious when attempting to day trade while Jerome is speaking. Do not attempt to fight any trends and look for a confirmation of a reversal prior to any entries on the day.
If you are attempting to trade after the first half hour of the day, look to scalp versus looking to day trade or swing in these current market conditions. I would advise staying away from attempting to swing trade right now as there are too many factors in the markets that will continually impact the markets making it not an optimal time for entry. Make sure to practice safe risk management in the process of everything and have stops to limit your downside risk potential.
Continue to tread lightly on these current market conditions, mostly with what is happening right now. We are starting to see greed start leaving the markets as people are selling off their equities. We are still in extreme greed on the fear and greed index and as a result of that, have an opportunity to continually watch as the markets come down over the next couple of weeks.
Please just be smart in these conditions. I know I’ve been saying this for a while at this point, but continue to hedge your positions and open up some longer-dated bearish allocations in the markets. There is a significant amount of highly overpriced equities at this point, and once those all start to slip, the markets will come down at a rate we have not seen this year. Once that reversal happens, we will see an amazing opportunity to go long into the end of the year, but until that point, we have to sit back and watch as the markets are at this confusing bullish point in the markets.
I personally have been slowly but continually adding to my puts on $SPY over the previous couple of weeks, and it is getting to the point where I am pretty happy with my bearish allocations and will be watching out for more opportunities to add, but more excited to exit those allocations with relative confidence.
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, but our systems provided a great opportunity to actively trade and generate some gains in comparison to the markets. Gains were not uber significant, but the returns themselves and the data that it provided were. The long-term portfolio greatly underperformed market conditions, but the base algorithm, and many of the neutral strategies it was built on, was able to beat out both $SPY and the fundamental analysis in the portfolio it’s based on. We are happy with this performance in comparison to the market movement and excited to see what happens 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: -0.05%
Our Results:
Base Algorithm: +0.16%
Variable Market Neutral: +0.14%
Sector Neutral: +0.09%
Market Neutral: +0.03%
Variable Sector Neutral: -0.15%
Long-Term Portfolio: -0.52%
With market conditions being a toss-up today, we would advise relative caution when attempting to allocate into these positions today. If you decide to enter into any position, make sure you are practicing safe risk management and limiting your downside risk potential. Positions should do well assuming that the market conditions are optimal, but with the markets being in a toss-up with Jerome Powell speaking today, make sure that if you enter into any positions, you are limiting your downside risk via setting stops on any of these positions today.
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 6/21/2023
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, $TSLA , $INTC , $AAPL, $MSFT
Position Opportunities:
Ride the momentum in the markets
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 6/21/2023
Fed Chair Powell testifies to House panel - 10 AM ET
Senate nomination hearing for Fed Govs. Jefferson and Cook and nominee Kugler - 10 AM ET
Notable Earnings for 6/21/2023
Pre-Market Earnings:
Patterson Companies (PDCO)
Winnebago Industries (WGO)
After-Market Earnings:
KB Home (KBH)
Enerpac Tool Group (EPAC)
Avid Bioservices (CDMO)
Wrap up
Overall this should be a fun day for the general markets, please make sure you are practicing safe risk management today and assuring that you are limiting your downside risk potential in the case that the markets are not optimal. Watch out for Jerome Powell testifying to the house today at 10 am EST, and follow the momentum in the markets.
Good luck trading, and let’s make the most out of these market conditions.