Vietnam Insight

Highlights:

• Vietnam's economy grew by 7.4% in the third quarter, the second highest in the past 5 years, according to the General Statistics Office. Industry and construction grew significantly compared to the same period in 2023. The total added value of the entire industry in the first 9 months increased by 8.34%. Average CPI in the third quarter increased by 3.48% yoy
• The number of businesses withdrawing from the market was 163,800 (+21.5% YoY).
• Official: FTSE Russell has not yet upgraded Vietnam's stock market.

Technical view: VNINDEX closed the week at 1,288.4 (+17.79 points, +1.4%) with low liquidity on the weekly chart forming a bullish candle similar to the previous 2 weeks. Signs of accumulation near the 1,300 peak indicate a cautious sentiment among both buyers and sellers. Cash flow is diversified and the spread is not strong. On the daily chart, the support zone of 1,270 has been successfully tested with a good increase. Reference support and resistance zones are 1,270 and 1,300.

Investment ideas: Investors should prioritize holding strong leading stocks such as the banking sector. With a short-term trading strategy, investors can sell at the current 1,300-point resistance level. And wait for corrections to the 1,27x range and rebound to make new or additional purchases.