Vietnam Insight

▶ On Thursday's trading session, the market was excited and spread green light when receiving positive news from the Government's management policies. Foreign investors started to return to net purchase. Trading liquidity remained higher than the 20-day average.

▶ At the end of the trading session, the VN-Index increased by 13.51 points (+1.04%), reaching 1,318.22 points; the HNX-Index increased by 2.60 points (+1.10%), reaching 238.01 points. Market liquidity reached VND22.5 trillion, equivalent to about 1,064.5 million shares traded. Foreign investors reversed to net purchase of VND 431.34 billion, mainly concentrated in HPG, MWG, EIB.

▶ Technical perspective: After a strong reversal session at the end of the previous day, investor sentiment opened the trading session somewhat cautiously. The morning session was quiet, prices fluctuated narrowly, and liquidity decreased. The fact that the sellers could not maintain the decline sent a positive signal to the market, activating strong buying power again. With weak resistance from the sellers, VN-Index quickly surpassed the 1,310 point mark, and ended the session with a long green candle. Notably, cash flow is spreading widely across industry groups.

Based on recent price movements, VN-Index has shifted to an uptrend as analyzed in the positive scenario. The next target of VN-Index is expected to be the 1,350 point zone.

Strategy: The market is following the main sideway trading trend. For short-term trading, investors can consider disbursing when VN-Index shows a correction around 1,280-1,300. With a holding strategy, investors can disburse more when VN-Index breaks out and successfully defends the 1,300 point zone.