Vietnam Insight

▶ On Monday's trading session, the market started the week gloomy with low trading volume. The market sentiment was still not positive, spreading negative vibe in many industry groups. Market volume was lower than the 20-day average.

▶ At the end of the trading session, the VN-Index decreased by 3.56 points (-0.28%), reaching 1,268.48 points; the HNX-Index decreased by 0.92 points (-0.39%), reaching 233.38 points. Market volume reached VND 12.9 trillion, equivalent to about 564.2 million shares traded. Foreign investors net bought VND 215.79 billion, mainly focusing on MWG, FUEVFVND, HCM.

▶ Technical perspective: VN-Index is trading above the EMA lines 20, 50 and 200 but is approaching 1,300 points, where the index has not been able to surpass in the last 4 times. Accordingly, buyers are more cautious around this area while sellers are not willing to sell because VN-Index has a good support level right below. In short term, we expect VN-Index to fluctuate in the range of 1,260-1,230 points, waiting for a session with large volume with a wide amplitude to confirm surpassing 1,300 points. In case of continued failure in approaching this old peak, the index will return to retest the 1,240-1,250 point range once again.

Strategy: Investors should observe at this price range, increase the proportion if VN-Index successfully surpasses 1,300 points with improved trading volume.