Vietnam Insight

Stable developments – The Fed is expected to cut interest rates by 25 basis points on Wednesday. In Monday's regular trading, the Dow slipped 0.25%, marking its eighth consecutive day of losses, the longest losing streak since 2018. Meanwhile, the S&P 500 rose 0.38%, and the Nasdaq Composite surged 1.24%, hitting new all-time highs. Looking ahead, the Fed is widely expected to reduce rates by 25 basis points on Wednesday, with much of the market's focus now on the central bank's outlook for 2025.

Diverging cash flows – Efforts to support the index. VNINDEX closed at 1,263.79, up 1.22 points (+0.1%) with lower-than-average trading volume compared to the past 20 sessions. Foreign investors net sell 205 billion dong. In a baseline scenario, the VN-Index needs to form a narrow range with strong volume absorption before challenging the 1,290-1,300 resistance levels.

Trading Strategy: Many stocks have reached their target profit levels, allowing short-term traders to partially sell and lock in profits. Consider completely exiting positions when the VN-Index approaches the 1,300 level.