Vietnam Insight

▶ With the positive recovery from Vin Group and Real Estate Sector, the market's uptrend continued to be maintained in Thursday's trading session and the index is moving closer to the MA20 level. Liquidity remained at a low level and foreign investors returned to net-buying with a relatively large value.

▶ At the end of the trading session, the VN-Index increased by 12.35 points (+1.02%), reaching 1,223.35 points; the HNX-Index decreased by 0.38 points (-0.18%), reaching 211.07 points. Market liquidity reached VND 19.41 trillion, which was equivalent to more than 913 million shares being traded. Foreign investors net bought nearly VND 580 billion on HOSE, mostly concentrated in HPG, MWG and VHM. On the contrary, the typical net-sold stocks included GEX, SHB and VIC.

▶ Technical perspective: The market continued to show a recovery session and closed above the 1,200 zone. The reduced liquidity indicated that the market continued to recover with a positive balance. In the scenario that market balance has been established, the 1,140 zone can be considered the new bottom zone of the index. The short-term support zone of the index is 1,170 – 1,180 and the nearest resistance zone is 1,270.

Strategy: On the grounds that there are many fluctuations in the macro economy recently, investors should not catch the bottom when the amount of stocks from previous sessions may create strong selling pressure. It is necessary to wait for the market to build a stable price base before disbursing buying positions.