Vietnam Insight

▶ In Wednesday's trading session, the market opened with a strong increase thanks to the breakthrough of Vin stocks. However, profit-taking pressure along with the fear of correction risks caused selling pressure to surge, cooling down the market's growth momentum. The market gradually stabilized at the end of the session. Market liquidity improved, higher than the 20-day average.

▶ At the end of the trading session, the VN-Index increased by 7.90 points (+0.60%), reaching 1,323.05 points; the HNX-Index decreased by 0.24 points (-0.11%), reaching 217.46 points. Market liquidity reached VND25.3 trillion, equivalent to about 1,065.4 million shares traded. Foreign investors net bought VND479.7 billion, mainly in STB, FUEVFVND, VHM.

▶ Technical perspective: The market witnessed differentiation between industry groups. While the public investment and real estate groups increased well, the growth has not spread to other industry groups. From the bottom of April, the market has recovered more than 20%, the MACD index is showing that the growth of VN-Index has slowed down in recent sessions. We expect the market to need time to accumulate before breaking through the resistance zone of 1,320-1,340 points.

Strategy: Investors who prefer to hold for the long term can consider disbursing stocks with good foundations, with accumulation bases with low proportions. It is possible to focus on stocks that benefit from domestic internal factors in some industry groups such as: Steel, banking, securities, energy... Opportunities can open up in down sessions.