Vietnam Insight

▶ On Wednesday's trading session, the market continued to maintain green and spread to many industry groups in the morning session. However, profit-taking pressure gradually arose, causing some pullbacks of the market. Large cap stocks such as Vingroup tickers and VCB are still the driving force to maintain the market sentiment. Market liquidity remained above the 20-day average.

▶ At the end of the trading session, the VN-Index increased by 1.87 points (+0.14%), reaching 1,334.41 points; the HNX-Index increased by 1.29 points (+0.54%), reaching 241.87 points. Market liquidity reached VND 21.9 trillion, equivalent to about 942.1 million shares traded. Foreign investors were net selling of VND 836.45 billion, mainly focusing on FPT, GMD, SSI.

▶ Technical perspective: The VN-Index recorded a slight gain, propelled by substantial upward momentum in VCB and VHM, while the majority of individual stocks saw marginal decreases. Trading activity reflected a neutral balance between buyers and sellers, resulting in a narrow trading spread for the index. Domestic investors emerged as the primary buyers, counteracting the net selling pressure from foreign participants. Our analysis remains positive, reinforcing our expectation of an upward trend. 

We anticipate that technical correction periods will present favorable entry points for investors looking to establish or increase their positions. The VN-Index is expected to advance towards the 1,350 resistance level.

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.