Vietnam Insight

▶ The market opened with a gain in points but gradually cooled down during the session and at times even fell below the reference price, but still successfully closed the session in green color with the support of some large-caps such as VPB, ACB or HPG... Liquidity dropped below the 20-session average and foreign investors still maintained a relatively strong net selling momentum with a net value of approximately 2 trillion VND.

▶ At the end of the trading session, the VN-Index increased by 6.37 points (+0.39%), reaching 1,636.37 points; HNX-Index increased by 1.53 points (+0.54%), reaching 283.87 points. The liquidity decreased to 49.7 trillion VND, which was equivalent to 1.6 billion shares traded. Foreign investors net sold 1,950 billion VND, of which the largest net selling value belonged to SHB, VPB and FPT. On the contrary, GMD, VCB and PDR were the typical net-bought stocks.

▶ Technical perspective: VN-Index recorded a slight increase with mild volatility. Liquidity showed signs of slowing down and the market was quite diversified in directions when the midcap group became the focus in today's session. The uptrend is still being maintained when the MA10 and MA20 lines are still sloping up. If VN-Index increases the spread with the consensus of increasing transaction value, the index is expected to move towards the 1,700 zone. Investors need to manage risks when VN-Index moves in the opposite direction and breaks the trend channel support at 1,510 points with large liquidity.

- In the positive case: The market is likely to experience a correction before continuing to increase points towards 1,600-1,700 points. Adjustments around 1,510 - 1,550 points will be a good opportunity for investors to increase their stock positions.

- In the negative case: The overwhelming selling pressure causes VN-Index to lose EMA20 and EMA50 points, along with unfavorable economic information that can bring VN-Index back to a sideways state within a wide range.

Strategy: In technical adjustment sessions around 1,510 - 1,550 points, investors can consider partial disbursement in stocks with good business results and benefit from market upgrade expectations. In case institutional cash flow does not reappear in the 1,450 - 1,510 point area, investors can reduce the proportion of stocks to manage risks.