Vietnam Insight

▶ On Monday's trading session, the market still could not break out due to continuous selling pressure from investors. The market needs to gain more momentum in the accumulation phase and move towards the 1,300 benchmark. Market volume was lower than the 20-session average.

▶ At the end of the trading session, VN-Index increased 3.09 points (+0.24%), reaching 1,290.67 points; HNX-Index increased 0.59 points (+0.24%), reaching 245.58 points. Market volume reached VND 21.6 trillion, equivalent to about 858.7 million shares traded. Foreign investors were net sold of VND 1,105.26 billion, focusing mainly on FPT, HPG, and VNM.

▶ Technical perspective: VN-Index continued a struggling session in front of the old peak resistance area with low volume recorded in the accumulation area. The market is highly mixed with cash flow concentrated mainly in transportation and securities stock segments. Technical indicators still show positive signals as MACD is positive and short-term MAs are sloping up. In the base scenario, the market will continue to accumulate around 1,250 - 1,280 and wait for a trading session with explosive volume along with the spread among industry groups to enter a new rising wave.

Strategy: Investors should buy at support areas corresponding to the 1,250 area of the market if the market accumulates successfully. Consider lowering your weighting if VN-Index breaks support at 1,240-1,250 points.