HaiKhuu Daily Report 9/22/2023
Good morning and happy Friday! Hope you all are ready for what is going to be an extremely interesting time for the general markets that will provide us opportunities to trade and realize gains in the process. This has been a crazy week as $SPY has broken below all forms of major support and has continued to come down heavily. We are in fear on the fear and greed index so this is what is going to be the beginning of the pain. Just note that on top of being in fear, this is a historically bearish day for the markets.
$SPY is up slightly at the time of writing this report, but at the same time, it is providing us with uncertain confidence at a point of fear. Please be careful and cautious and tread lightly. We are due for a quick bounce in the markets and recovery, but with the sudden drop in the markets, who knows truthfully what is about to happen in the short term.
Look to follow the market momentum and capitalize on the scalps when given an opportunity to do so, but do not be overly ambitious and hard-set on a specific direction. Being overly bullish or bearish here will lead to you looking for confirmations of your bias, and blindsiding you and your positions. Make some smart allocations, practice safe risk management, and realize some gains when given an opportunity to do so.
One play that is very interesting today that should provide everyone with a sizable return in the short term, is to look into selling some 0-DTE CSPs while volatility is at this relative high. Selling some 0-DTEs on organizations like $ARM will provide you with a sizable return with relatively low risk at this point. Just make sure to sell these puts highly OTM, and only at a strike price you are confident in holding at. I’ll talk more about this allocation later on in this report.
This is going to be a very interesting day for the markets, so let’s have some fun and make the most out of the opportunities presented to us!
The updated $SPY daily levels are as follows:
Conversion Line Resistance: $441.15
Base Line Resistance: $442.45
Strong Psychological Resistance: $440
Weak Psychological Support: $430
Daily Cloud Resistance: $447.85
$SPY Daily Candles - Bearish TK Cross , Under Daily Cloud [9/22/2023]
Thoughts & Comments from 9/21/2023
Yesterday was an absolutely terrible day for the general markets that was extremely difficult to navigate, and hard to trade with confidence or consistency. There were not many opportunities to trade to the upside, and it was significantly easier to simply follow the trend and follow the bearish sentiment in the markets.
$SPY started the day trading at $435.71, down significantly from the previous close of $438.64. Market conditions were looking exceptionally weak and did not provide us with much confidence going into open. We quickly made the official high of the day right at open, with $SPY trading at $435.97, and followed up by slipping for the large majority of the day.
Within the first hour, we found some slight buying momentum where we recovered some of the losses that were incurred, to come back to around the open price, and tested that level with relative confidence. But despite this newfound confidence, it was quickly lost going into the lunchtime lull as we chopped around that level, and ultimately sold off into the low volume in the markets.
Not much happened during the lunchtime lull as market conditions were not optimal, but at least the markets did not sell off in the process. As people started to come back from lunch, and momentum started to pick up, we saw that market conditions were becoming more optimal as we slightly recovered in the process, but the lack of general momentum caused us to sit around and watch a stagnant market for the large majority of the afternoon.
During the back half of the day though, around 2 pm EST, we started to see some more bearish momentum in the markets as people were selling off for the final part of the day. $SPY continually made new official lows of the day resulting in continued bearish momentum until close. We ended the day with power hour being extremely bearish, making an official low of the day going into close. $SPY ended the day trading at $431.39, down $7.25 for the day, or down approximately 1.65% with an intraday bearish movement of -0.95%. It was a terrible time for the general markets that solidified a significant amount of fear.
Hopefully, you all were able to minimize your risk yesterday and capitalize on the bearish momentum in the markets. If you weren’t able to do so, C’est la vie, it’s just another day for the markets, so let’s see what conditions have in store for us today and try to make the most out of the opportunities that are available to us right now!
Let’s see what happens today, but I already know this is going to be a phenomenal time!
Thoughts & Comments for Today, 9/22/2023
This is going to be an extremely interesting day for the markets. There is a significant amount of fear in the markets right now as there is a significant amount of confusion about people’s sentiments, but at the same time, $SPY is showing strength during this pre-market session. As a result of this, a lot of people will not know how they want to navigate the markets today, leading to a lot of confusion. There is going to be a significant amount of chop as a result of this confusion leading to inconsistencies in the markets and making it extremely difficult to actively trade and realize gains as a result of this.
Please be careful and cautious while attempting to trade right now because this chop is going to make it extremely difficult to be consistent in these conditions. The best thing you can do right now is either find a generally passive way to capitalize on these conditions today (0-DTE CSPs) or attempt to quickly scalp or day trade throughout the day.
0-DTE CSPs are going to be the safest way to capitalize on this market condition. Volatility is extremely high right now in comparison to just a couple of weeks ago, and you will find many organizations with extremely high IV, causing the premiums to be extremely expensive to even just look at the contracts. $ARM is an organization I am exceptionally interested in selling premium for, but they do not have any 0-DTEs available for today, but the premiums on those contracts are extremely nice. $CART is another without 0-DTE csps, but is something I am extremely interested in selling puts in, or possibly looking to sell naked calls. A great organization to look to sell some 0-DTE CSPs in today is $AMD. They just broke major support, and have had some significant bearish momentum over the previous couple of weeks. If you are able to sit back and sell some $2 OTM puts, you should theoretically not get tested from open price, and then collect some premium going into the weekend with ease. This is obviously not a risk-free position, but perspectively for the current market conditions, provide you with a beautiful opportunity to have theta assist you in realizing some passive gains to enjoy going into the weekend.
If you are not interested in selling premium though, actively scalping in these market conditions is going to provide you with a significant amount of consistent realized gains today. When I am talking about scalping, I am talking about extremely quick plays that do not span more than a couple of minutes at a time. Look to enter at what you believe is a relative bottom on a position and is showing signs of selling slowing down, and is showing signs of a reversal happening soon. With both of these in place, enter into a position with an extremely tight stop outside of the range of movement. Stops set right under major support are always going to be a great time to enter, and simply just enter into the play, move your stop up accordingly, and realize gains in a matter of genuinely minutes. It obviously is not going to make any sort of life-changing money quickly, but it will provide you with an amazing opportunity to realize gains on a consistent basis while the market conditions are looking exceptionally choppy.
Please just be careful while attempting to trade today. Lots of traders will realize a significant amount of gains and have a great time in the process while trading today, and a lot of people will have an extremely difficult time and overtrade in the process. As long as you aim for consistency and good trades today, you should not have a problem capitalizing on these market conditions.
For myself personally, as always, I am not 100% certain about how much I will be allocated into the markets for the day, but I am 100% looking into continuing my stance of holding my solid allocations through this BS and attempting to capitalize on the short term quick movements in the markets via scalping. I will be looking to scalp organizations like $TSLA and $ARM throughout the day to provide me with opportunities to take on more risk with higher beta stocks, but at the same time, still provide a sizable return in comparison to trading organizations like $AAPL. I will be looking for opportunities to capitalize on this higher volatility, but I am genuinely worried about the possibility of continued selling throughout the day.
Let’s see what happens today, and attempt to realize some gains in the process going into what should be a phenomenal weekend!
Good luck trading and this should be a great time!
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 general markets, but all of our systems were able to outperform by a sizable market. Our technical analysis outperformed our fundamental analysis which is a good sign while we are actively testing our newest system, but at the same time, it is just unfortunate that market conditions were so rough yesterday. We will see what happens here in a little bit while we are finalizing our tests, and hopefully, everything will perform up to our standards and continue to do well once market conditions stabilize.
To get an in-depth analysis of our algorithms' performance, check out Asher’s Report!
The results of yesterday are as follows:
Baseline:
$SPY: -0.95%
Our Results:
Sector Neutral: +0.0%
Variable Sector Neutral: -0.36%
Market Neutral: -0.58%
Variable Market Neutral: -0.66%
Base Algorithm: -0.74%
Long Term Portfolio: -0.87%
As I said before, these positions are on a tentative hold at the moment while we are live testing in these current market conditions. We are going to be lifting the hold soon as long as situationally everything is looking as expected. Just a reminder that these positions are not currently endorsed by HaiKhuu, but we are providing them for complete transparency and consistency sake while we are working on active improvements. If you are taking any of these positions, take them at your own risk and practice safe risk management in the process!
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 9/22/2023
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, $ARM, $DIS , $TSLA , $AAPL , $DG , $CART* , $FAZE*
Position Opportunities:
Follow the market momentum
Limit your downside risk
Hold cash & prepare to allocate into the markets
LONG OPPORTUNITIES:
Long-Term Dividend - $GAIN / $JEPI
Long-Term Investment - $DIS
Economic News for 9/22/2023
S&P Flash US Services PMI - 9:45 AM ET
S&P Flash US Manufacturing PMI - 9:45 AM ET
Notable Earnings for 9/22/2023
Pre-Market Earnings:
NetSol Technologies (NTWK)
Wrap up
Overall, this should be an interesting time to end the week, please be careful and cautious while attempting to actively trade, and practice safe risk management in the process of everything. A lot of people will have an extremely difficult time while actively trading today, while realizing a significant amount of losses in the process, while at the same time. Follow the momentum in the markets, and capitalize on the opportunities that are available to us in real time.
Good luck trading, and let’s take advantage of these market conditions.