Vietnam Insight

▶ On Tuesday's trading session, after trying to maintain a sideways state with low volume in the morning session, the market had another memorable session when sunk in red sea in the afternoon session. Market volume increased and recorded at a level above the 20-day average.

▶ At the end of the trading session, VN-Index decreased 22.83 points (-1.82%), reaching 1,231.81 points; HNX-Index decreased 3.78 points (-1.59%), reaching 234.60 points. Market volume reached VND 18.07 trillion, equivalent to about 728.4 million shares traded. Foreign investors were net sold of VND 123 billion, focusing mainly on DGC, TCH, and HDB.

▶ Technical perspective: The market traded in a narrow range for most of the morning and afternoon sessions. However, the overwhelming selling force at the end of the trading session caused VN-Index to fall deeper than 22 points and move closer to the EMA200 line. Being below the EMA50 line, VN-Index will likely continue to experience selling pressure in the short term, with EMA200 being the next hard support area of ​​the index. VN-Index's RSI has approached the oversold area. Investors continue to observe the market at the next support area. In a positive case, VN-Index around the EMA 200 will have an increasing session with a wide margin and below average volume. This will be an early signal that supply has depleted for investors.

Strategy: Investors continue to observe market developments at the support zone of 1,220-1,230 points, and may consider disbursing when there are signs of reversal and VN-Index returns above EMA50. With stocks that still maintain an uptrend and have a good fundamental foundation, investors can absolutely continue to hold. Investors should reduce the proportion of stocks that violate technical signals and have poor business fundamentals in the near future.