Vietnam Insight

▶ The market had a strong increase and almost completely eliminated the previous correction pressure from the peak. In particular, the bright spot belonged to largecap stocks such as VHM, VIC or TCB, SSI. The positive momentum spread with 299 stocks increasing, of which 21 stocks increased by the maximum amplitude. However, liquidity was not really in consensus as the transaction value decreased, showing the hesitation of bottom-fishing cash flow. Foreigners also returned to net buying in today's session, with the net buying value at MSB alone accounted for more than 700 billion.

▶ At the end of the trading session, the VN-Index increased by 53.6 points (+3.32%), reaching 1,667.63 points; HNX-Index increased by 9.21 points (+3.45%), reaching 275.79 points. The liquidity of the whole market decreased to 42 trillion VND, equivalent to 1.6 billion shares traded. Foreign investors returned to net buy VND875 billion, in which the largest net buying value was in MSB, VIX and MWG. On the contrary, HPG, VHM and SSI were the stocks with the most net selling.

▶ Technical perspective: VN-Index recorded a strong increase and denied the bearish candle of yesterday. Liquidity was lower than the 20-session average, showing investors' cautious sentiment after the two previous strong declines. Overall, VN-Index still maintains a medium-term uptrend as the index moves closely to the MA20 support lines. Investors need to manage risks when VN-Index moves in the opposite direction and breaks through the trend channel support at 1,510 points with high liquidity.

In the positive case: The market is likely to experience corrections before continuing to increase points towards 1,700 points. Adjustments around 1,550-1,570 will be a good opportunity for investors to increase their positions if there are reversal signals.

In the negative case: Overwhelming selling pressure causes VN-Index to lose MA20 and MA50, along with unfavorable economic information that could cause the market to lose its medium-term uptrend.

Strategy: Prioritize a holding strategy and be ready to sell when the target is reached. If the market corrects to around 1,500 - 1,570 points, investors can consider disbursing part of their investment in stocks with good business results and benefiting from the expectation of market upgrade. In case institutional cash flow does not reappear in the 1,500 - 1,570 point area, investors can reduce the stock proportion to manage risks.