Vietnam Insight

▶ On Tuesday's trading session, the market improved ahead of the US presidential election results. However, investors remained cautious, waiting for clearer signals and sentiments from the market. Market volume decreased sharply compared to the previous session.

▶ At the end of the trading session, the VN-Index increased by 1.05 points (+0.08%), reaching 1,245.76 points; the HNX-Index increased by 0.41 points (+0.18%), reaching 224.86 points. Market volume reached VND 11 trillion, equivalent to about 416.5 million shares traded. Foreign investors were net sold of VND 855.9 billion, mainly focusing on MSN, VHM, MWG.

▶ Technical perspective: After the first decline of the week, investors were relatively cautious when entering the trading session on November 5, 2024, as shown by the sharp decline in liquidity and narrow fluctuations. The downtrend will still be the main trend in the short term until a new equilibrium is found. We believe that around the EMA200 area (1,240 points), there will be more bottom-fishing buying power. If the VN-Index finds an equilibrium at this point, this will be a good signal to attract more money into the market. In case of continuing to lose the EMA200 with a wide candle body, VN-Index may return to the 1,200-1,220 zone for testing.

Strategy: Investors should maintain an observation status and wait for the market to determine a new equilibrium point before entering. The buying recommendation is to wait for the market to move towards the 1,270 zone and have a tendency to rebound or wait for it to surpass 1,300. Investors can consider reducing the proportion of some stocks that violate technical signals.