Vietnam Insight

▶ On Monday's trading session, the market struggled around the reference threshold. Notably, foreign investors' net trading value increased dramatically, double the average net selling value. Market volume improved but still remained lower than the 20-day average.

▶ At the end of the trading session, VN-Index increased 0.52 points (+0.04%), reaching 1,283.56 points; HNX-Index increased 0.85 points (+0.35%), reaching 243.15 points. Market volume reached VND 19.89 trillion, equivalent to about 766.9 million shares traded. Foreign investors were net sold of VND 2,264.87 billion, focusing mainly on HDB, FPT, and STB.

▶ Technical perspective: VN-Index continues its series of narrow volatility and low volume, showing that the buyers and sellers are balanced and show a cautious mentality. VN-Index ended the trading session above all 3 EMA lines 20, 50 and 200. VN-Index will likely accumulate and struggle around the 1,270-1,280 point area to wait for new information from the Q2/2024 financial reporting season. After this accumulation, if the data from the financial statements support the forecast of economic recovery, investment cash flow can return and help the market grow in the coming period.

Strategy: Last week's trading session reinforced the view that the recent correction was only technical and that the uptrend trend is still the main trend of the VN-Index. Investors can increase the proportion around the EMA50 area.