Vietnam Insight

▶ On Tuesday's trading session, the market prospered, maintaining a green vibe throughout the trading session, spreading to many industry groups. Market volume continued to improve and reached a level higher than the 20-day average.

▶ At the end of the trading session, VN-Index increased 10.15 points (+0.79%), reaching 1,293.71 points; HNX-Index increased 2.51 points (+1.03%), reaching 245.66 points. Market volume reached VND 21.82 trillion, equivalent to about 821.8 million shares traded. Foreign investors were net sold of VND 463.57 billion, focusing mainly on FPT, MSN, MWG.

▶ Technical perspective: VN-Index increased with gradually improving volume over the last 3 sessions, showing the trend of attracting new money into the market. The upward trend strengthened when VN-Index lies above all three EMA lines 20, 50 and 200. The MACD indicator shows a positive value, creating a good signal for the market in the short term. The psychological resistance level of 1,300 will also be an important resistance area to observe in the near future. In case VN-Index surpasses this resistance zone with financial statements consistent with investor expectations, demand will increase and help VN-Index grow in the near future.

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