Vietnam Insight

▶ In Thursday's trading session, market liquidity clearly lost steam, showing investors' cautious sentiment in the context of market adjustments and accumulations. Large cap stocks that have increased strongly recently have also experienced some pullbacks, causing the market to lack growth momentum. Foreign investors still maintained net selling but the pressure cooled down significantly.

▶ At the end of the trading session, the VN-Index decreased by 2.28 points (-0.17%), reaching 1,323.81 points; the HNX-Index decreased by 1.79 points (-0.74%), reaching 239.54 points. Market liquidity reached VND16.1 trillion, equivalent to about 672.3 million shares traded. Foreign investors were net selling of VND63.8 billion, mainly concentrated on TPB, DBC, PNJ.

▶ Technical perspective: VN-Index continues to experience a drop in volume, with tight spread signalling the unwillingness to sell and lack of motivation to build more position. This is a common situation as the market heading toward earning session with lack of material informations. Despite experiencing slight corrections, the VN-Index continues to trade above its 50-day EMA, currently around the 1,300 level, indicating a degree of underlying support. To drive the index higher, a significant increase in buying interest from sidelined investors will be required.