HaiKhuu Daily Report 8/31/2023
Good morning and happy Thursday! It’s the last day of the month, and the markets are looking absolutely beautiful. I hope you all are well rested and excited for today because we are going to have an amazing time. The markets are showing relative strength, and this has provided us with a significant amount of opportunity to trade with relative confidence. This is going to be an extremely interesting time for the markets that will provide a lot of traders with many trades, so be wise with your decisions.
Do not fight any trends, and do not be overly bullish or bearish in these market conditions. Follow the momentum in the markets and realize gains. Do not over-trade, do not get greedy, and as always, practice safe risk management!
Hopefully, you all were able to follow our bearish allocation on $FIVE or $DG yesterday, and keep them on your watch list for the near future!
Good luck trading today and let’s make some bank!
The updated $SPY daily levels are as follows:
Conversion Line Support: $443.88
Base Line Support: $446.23
Weak Psychological Support: $450
Strong Psychological Support: $440
Daily Cloud Support: $448.42
Thoughts & Comments from 8/30/2023
Yesterday was a choppy yet fun day to actively trade. $SPY was green throughout the entire day, and there was a significant amount of general volatility in the markets making trading extremely difficult, yet extremely profitable and fun. If you were able to catch some of our plays yesterday like $FIVE puts or $VRA long at open, I am sure you had an amazing time.
$SPY started the day off right under the $450 resistance level, opening at $449.57, up slightly from the previous close, but not up enough to generate a significant amount of confidence. $SPY moved up accordingly throughout the entire morning, where we made the relative high of the day right after economic news came out, trading at $451.50~. It was a great time, but was quickly met with some significant bearish momentum, as $SPY dropped heavily afterward, and made an official low of the day trading at $448.78.
After making the official low of the day though, we watched as the markets recovered nicely from the bottom, and continued to move up accordingly going into the lunchtime lull, and watched as we made the official high of the day with $SPY trading at $451.67.
The movement up at open was nice, and the movement down was tough, but there was a great opportunity to go long and make the official high of the day. There were many great opportunities to trade from open, all the way into lunch.
As the afternoon was passing though, market momentum slowed down, and there were not many great opportunities to actively scalp or trade.
$SPY took a dip from the top, to come back and test $450, but recovered leading into power hour, where $SPY only came down and continued to move down accordingly throughout the rest of the day.
We ended the day with $SPY trading at $451.01, up $1.85 for the day, or up approximately 0.4%, with an intraday bullish movement of roughly 0.3%.
It was an amazing day with many great opportunities to actively trade. I hope you all were able to maximize your gains and have a great time yesterday because the markets absolutely loved us.
Congratulations to anyone who followed any of our plays yesterday, I know Louis killed some 0-DTE plays, and our $VRA and $FIVE play worked out perfectly!
Let’s see what today has in store for us and have a great time in the process!
Thoughts & Comments for Today, 8/31/2023
As I have said over the previous couple of days, this is going to be a confusing, yet beautiful day in the markets. We are riding strong but it is just a matter of how long will this momentum be able to last before we ultimately come back and sell off. Do the markets continue to move up with confidence? Or do we start selling off here? I don’t know, and I am assuming that a lot of other traders are in the same boat.
$SPY is continuing to look strong after the insane bullish momentum we saw on Tuesday, with $SPY trading above the previously mentioned resistance levels, and the daily cloud. There is a good chance we continue to move up, but just like an elderly person with a balance problem, there is a high fall risk.
I would not recommend being overly bullish or bearish right now, mostly in these current market conditions, but I would advise you all to navigate these market conditions accordingly and take it on a day-by-day, and trade-by-trade basis. Follow the momentum accordingly, and be safe in the process.
If the markets are looking strong, look for opportunities to trade to the upside, and ride the momentum up.
If the markets are looking weak and are showing signs of coming down, allocate and short accordingly.
This momentum has a great opportunity to push the markets to a new 52-week high, we only need a couple more days of green, but at the same time, we can see that the markets can easily come back down and test support, and sell off accordingly.
It is extremely risky attempting to allocate long into the markets here, but if you are attempting to allocate, look to get into lower-risk positions that ultimately at the end of the day are undervalued from a fundamental basis that have opportunities to move up accordingly, outside of general market conditions. An organization that I have been talking about for a long time at this point, is $DIS. This is one of the few organizations that I absolutely love as an entry at this point, as a result of a lot of the BS that they have been dealing with in the short term. Allocating now, averaging in if necessary, and holding indefinitely is going to be a winning play. This obviously will not be an insane 200% runner overnight, but if you give this some time, $DIS should outperform the markets with relative ease when it starts to recover.
Please just be careful if you are looking to allocate heavily in either tech or retail stocks. There is a lot of downside risk involved with both sectors at this point. Tech may continue to move up accordingly as markets are strong, but once the markets start to get shot, then we will see a lot of downside risk involved with tech and semiconductors. I still believe that $NVDA is heavily overpriced, and once the organization starts to slow down in terms of growth, we will see a significant amount of selling as a result of people taking profits and moving on with life.
This is not something many people are considering right now, as they are blindsighted by the profit potential that is presented to them.
Just please continue to tread lightly on these market conditions and do what you can to maximize your profit potential, while minimizing general risks.
For my personal positions at this point, I did add to $VRA towards the back half of the day and am allocated nicely at this point. I do intend to sell that position in the near future, but I do not know exactly when I am going to get out. It is more so a play that I am in where I get out when I get out, versus having a general price target for an exit. I also did get into another $DIS 90 Leap yesterday, with the intention of holding that indefinitely until $DIS moves up nicely after this strike talk is over. For my intraday positions, I do not know what I want to trade at this point, but I will possibly look to grab some $DG as a result of their poor earnings and hold that position over the next couple of days, as out of all of the discount retail stores, $DG by far is my favorite position. Other than that, I may grab some general scalps in the markets, but I do not know exactly where I will allocate at this point. I still have no intentions of going long with any general tech companies at this point, but if anything changes, I’ll obviously let you all know!
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 our systems, but we all knew that was going to realistically happen. As I have said before, our systems are on a temporary hold while we are performing active tests and improving consistency. Market conditions are getting better so we may lift the hold soon once our testing is completed, so we will go from there and relax in the process. Again, we are on hold and are not endorsing any of these entries. We are just providing them for consistency & complete transparency sake!
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of yesterday are as follows:
Baseline:
$SPY: +0.31%
Our Results:
Sector Neutral: +0.02%
Variable Sector Neutral: -0.08%
Long Term Portfolio: -0.12%
Base Algorithm: -0.17%
Variable Market Neutral: -0.26%
Market Neutral: -0.35%
As I said before, we are still not endorsing these allocations as market conditions have not shifted in the short term and we are still not comfortable with the inconsistencies of the algorithm. We highly recommend you take these with a grain of salt if you are considering any of these positions, and recommend you look at it more so as a confirmation bias on a watchlist of tickers you are interested in, than a list of tickers we recommend you enter.
These positions are all valid from our old testing systems, but we do not endorse these. These are presented for transparency and consistency's sake, so please be careful and limit the risk if you decide to enter into any of 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 8/31/2023
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 , $FIVE, $DG, $NVDA, $DIS, $TSLA, $MSFT
Position Opportunities:
Follow the momentum in the markets
Exit all positions you are not comfortable holding
Watch for a breakdown
Hold cash to allocate accordingly at the bottom
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $DIS
Economic News for 8/31/2023
Initial Jobless Claims - 8:30 AM ET
Personal Income and Spending - 8:30 AM ET
PCE Index - 8:30 AM ET
Chicago Business Barometer - 9:45 AM ET
Notable Earnings for 8/31/2023
Pre-Market Earnings:
Dollar General (DG)
Polestar (PSNY)
UBS AG (UBS)
Academy Sports and Outdoors (ASO)
Campbell Soup (CPB)
Signet Jewelers (SIG)
Hormel Foods Corp. (HRL)
After-Market Earnings:
Broadcom (AVGO)
Lululemon (LULU)
MongoDB (MDB)
SentinelOne (S)
Samsara Inc. (IOT)
Dell Technologies (DELL)
Tilly's, Inc. (TLYS)
Wrap up
Overall, let’s see what happens in the markets today. Again, do not get greedy, but look to take on some risks in these market conditions, and take advantage of the confidence in the markets. This should be a great time for everyone with opportunities to actively trade. Realize some gains, practice safe risk management, but increase the quantities of trades to have a great time.
Good luck trading today, and let’s make some bank!