HaiKhuu Daily Report 7/24/2023
Good morning and happy Monday! Hope you traders all had an amazing weekend and are feeling refreshed after what was a long but profitable week on the markets! The markets are up at the time of writing this report, but this should be an interesting week. We have a significant amount of earnings, as well as a significant amount of economic news that will be coming this week. Specifically, we have FOMC numbers coming out on Wednesday, as well as Jerome Powell speaking after those numbers come out. If you haven’t prepared for the week yet, come check out our Weekly Market Preview!
This should be a great time, while historically, Thursday is a bearish day for the general markets, so it will be interesting too.
I hope you all are prepared for what should be a fun time for the markets. Make sure to continue to follow the momentum in the markets and continually do what to continually capitalize on the opportunities that are presented to us at this moment!
Just as a final point, this is a reminder that on THURSDAY, JULY 27TH, AT 6 PM CST, we are hosting Tom Sossnoff, the Founder of TD Ameritrade & tastytrade on the HaiKhuu Discord. Do not forget to RSVP to claim your free spot at the event and sign up for tastytrade! He will be doing a demonstration of the brokerage as well as will be hosting a general Q&A!
Good luck trading this week and let’s make some bank!
Thoughts & Comments from 7/21/2023
Last week was a wild time for the markets with a significant amount of strength, momentum, and chop in the markets. We started the week off relatively strong, playing around the 52-week high on Monday, as $SPY broke $450 for the first time this year, and showed a significant amount of strength as the markets continued to move up throughout the day, before slowing down into close, which was followed by a significant amount of bullish momentum on Tuesday, which made a new 52-week high on $SPY.
Wednesday, was an interesting time as you could start to see signs of possible exhaustion in the markets, as we hit a new 52-week high that day, and made the official 52-week high at $456.43, before coming down continuously throughout the rest of the day. Thursday we did see some bearish momentum and chop in the markets, but nothing of any major concern, and Friday was literally the definition of a choppy day.
Friday was an extremely interesting day for the markets as we opened the day with a significant amount of strength, but showed signs of weakness in the process. $SPY opened the day trading at $454, and quickly sold off from open, where we made a relative low trading right above $452, recovered, and continued to chop around. We moved up slightly, but as you all could have expected, any time the markets moved up, we came back down accordingly. We did push up into the lunchtime lull as people were buying while there was low volume in the markets, but that was quickly matched by selling as people started to come back.
After the selling happened, we did quickly move back up, officially going green again from open at the official high of the day, but we were only green intraday for a brief moment. $SPY hit the official high trading at $454.16, and afterward, we were filled with bearish momentum to end the day.
We ended the day with $SPY trading at $452.18, black from the previous close, but with a sizable bearish intraday movement of 0.37%.
Hopefully, you all were able to capitalize on the opportunities on Friday, as well as the overall week, as $SPY from Monday at open, to Friday at close, moved up 0.69% overall, with a beautiful 1.6% movement up from Monday open to the official 52-week high on Wednesday.
Let’s see what this week has in store for us, and make the most out of any and all of the opportunities that are presented!
Thoughts & Comments for Today, 7/24/2023
Today should be a fun day for the markets. There is a significant amount of strength in the pre-market session, which is providing us with optimism going into the market open, but I just want to warn you all again, that treading in these waters, provides a lot of potential for downside risk/ The same way that when the markets move up, there is potential for the gains to continually increase at an exponential level, falling now will lead to the same increased downside risk. I would recommend you continue to follow the momentum in the markets and just tread lightly.
The daily support levels have moved up, where the daily conversion line support is trading at $450.67, while the baseline support is trading at $443.81. I do not think that realistically, we will come down and test either of these levels either today or tomorrow, but the FOMC meeting on Wednesday will really be the testing point of this. In the case there is a positive response to the meeting, we will see the markets continue to move up with relative strength, but in the case, we see a significant amount of fear and selling come back into the markets, I am confident we will break these levels with relative ease and continue to move down with confidence.
I think that we realistically will test that support level over the next couple of days, it is just a matter of when we ultimately do decide to come down to that level, until then though, just continue to be fluid with your positions and make sure you are practicing safe risk management by setting stops on your general positions, hedging any positions you want to continue to hold, taking profit on the positions you are heavily in profit in and make sure you are limiting your downside risk. I think the markets are already showing significant signs of weakness, mostly with $NFLX and $TSLA having tough earnings, and I think that we will continue to see organizations beat expected revenues, but dip on the news that the forward guidance is not looking the best.
A play that I am starting to consider right now, is a general short on $RIVN. I do not want to enter too early, and my long-term sentiment on the organization is the exact same, but I am a firm believer that in the short term, here at $25~ it is heavily overpriced and can drop 20%~ realistically in the case that tech stocks start to sell off. We are already seeing weakness impact $TSLA, so $RIVN will be the next on the chopping block. I would not recommend you take a sizable allocation in attempting to short $RIVN, but definitely, a position I would recommend you consider in the short term.
On a side note, talking about Mattel as an organization. Barbie broke records generating over $150 million dollars this weekend at the box office and has brought in a lot of positive sentiment not only towards Mattel as an organization but bringing a significant new wave of purchasing and sentiment change to Barbie as a whole. I personally am going to be excited to see their earnings on Wednesday, and do not have the anticipation of exiting my full position until most likely Q1 2024. I may decide to cut some of my position assuming they go up significantly on earnings, but I do anticipate that it’s only going to continue to do well over the next couple of months. If you see a sizable dip on $MAT anytime soon, this will be a phenomenally safe hold in comparison to a lot of these highly overpriced tech stocks that are currently 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 amazing week for the algorithm. We’ve been working on continued improvement on the algorithm with the new portfolio it was built on, providing us with a beautiful opportunity to realize a significant amount of gains on an intraday basis with relatively lower risk in comparison to holding the general indices like $SPY. Beautiful week for the portfolio and an even better week for our technical analysis.
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: +0.41%
Our Results:
Base Algo: +2.47%
Variable Market Neutral: +2.21%
Market Neutral: +1.71%
Long-Term Portfolio: +1.7%
Variable Sector Neutral: +0.63%
Sector Neutral: -1.22%
With these allocations being significantly tighter than normal, each allocation will be weighted a little bit heavier. Take this into account when contemplating which positions to take. Make sure to do your own due diligence prior to entering into any of these positions and make sure to take on the proper amount of risk. Size into all positions accordingly, and have stops set to minimize your downside risk. Assuming the markets continue moving the way they do, this should be an amazing day for these positions!
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 7/24/2023
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 , $MAT , $DIS, $MSFT , $AAPL , $TSLA , $GOOGL , $RIVN
Position Opportunities:
Ride the momentum in the markets
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 7/24/2023
S&P "Flash" U.S. Manufacturing PMI - 9:45 AM ET
S&P "Flash" U.S. Services PMI - 9:45 AM ET
Notable Earnings for 7/24/2023
Pre-Market Earnings:
Domino's Pizza (DPZ)
Bank of Hawaii Corp. (BOH)
After-Market Earnings:
NXP Semiconductors N.V. (NXPI)
AGNC Investment Corp. (AGNC)
Whirlpool Corp. (WHR)
Logitech International (LOGI)
Five Star Bancorp (FSBC)
Wrap up
Overall, this should be a great time for the general markets that is followed up by an absolutely insane week. We have a significant amount of earnings coming up as well as economic news, so just be smart and fluid with your positions, do not fight any trends, and watch out for the downside risk. Things should continue to be great over the upcoming weeks in the markets, so get ready and let’s have a great time!
Good luck trading, and let’s kill it this week!