[Market Radar] - Haste makes waste
▶ In the first trading session of the week, the market opened with positive green colors, but failed to maintain the increase in the end and only managed to close around the reference price. Foreign investors returned their net selling position after a series of consecutive net buying days. Liquidity remained at the bottom, showing the cautiousness of money flow. ▶ At the end of the trading session, VN-Index increased by 0.75 points (+0.06%), reaching 1,251.21 points; HNX-Index increased by 0.28 points (+0.3%), reaching 225.32 points. Market liquidity reached VND 11.96 trillion, equivalent to about 497.4 million shares traded. Foreign investors net sold VND 304.30 billion, mainly concentrated in FPT, VRE, CTG. ▶ Technical perspective: Following the momentum of last week, VN-Index opened the session with a gap up of nearly 8 points. Liquidity did not improve as it remained below average. This showed that the buying side lacked institutional group as the leader. Despite the tender buying force, the selling side did not show strong profit-taking moves in this area, resulted in VN-Index slightly fluctuating throughout the trading session. We believe that sideway in the range of 1,200-1,270 points will be the main trend of VN-Index. If in the coming sessions, selling force appears around the 1,250 point area and VN-Index decreases at the resistance zone of 1,250-1,260 points in short-term, the market is likely to return to test the support zone of 1,200-1,210 points. In a more positive scenario, if VN-Index successfully protects the 1,250 point zone and increases dramatically, accompanied with large trading volume, it is likely to retest the 1,300 point zone. Strategy: Investors temporarily should stop buying new stocks with high beta characteristics, prioritize observation and be ready to sell if the stock reachs the price range as mentioned in the above scenario. Since the index is trading in a range, investors should prioritize disbursement at one time and close positions early, avoid buying at multiple times when the price goes up.
View more