Vietnam Insight

▶ The market opened the trading session with a gap of 9.09 points, continuing the recovery momentum of the previous session. The index continued to be under strong selling pressure in the morning session under the strong net selling momentum of foreign investors. Selling pressure weakened in the afternoon session, but liquidity in the recovery session continued to remain low. The index regained the reference level at the end of the session. 

▶ At the end of the trading session, the VN-Index increased by 5.94 points (+0.36%), reaching 1,643.26 points; the HNX-Index decreased slightly by 0.22 points (-0.08%), to 274.60 points. Liquidity of the entire market in the recovery session continued to decrease sharply, below the 20-session average, to VND 34.1 trillion, equivalent to about 1.216 million shares traded. Foreign investors returned to strong net selling of VND 2,933 billion in the session, focusing on selling the most stocks HPG, MWG and MBB. On the other hand, VPB, DBC and TAL were the stocks with the strongest net buying.

▶ Technical perspective: VN-Index recorded an accumulation session with a narrow fluctuation range when approaching the resistance at 1650. Liquidity remained at a low level, showing that supply and demand are still cautious, this state will continue to repeat in the corrections when approaching the trend support channel. In the coming time, the market will move in small trends of increasing and decreasing intertwined with each other. In order to return to a large uptrend, the VN-Index needs to accumulate and tighten the amplitude. Investors need to manage risks in case the VN-Index breaks the MA50 mark at 1,540 points.

In the positive case: After several rounds of re-testing the 1,640 point area corresponding to the MA 20, the market continues to increase towards 1,750 points.

In the negative case: The market tends to move sideways and accumulate at the 1,640 point mark corresponding to the MA 20. If this mark is broken, the market will likely test the 1,540 mark at the MA 50.

Strategy: Prioritize the holding strategy and be ready to sell when the target is reached. For short-term traders, if the market corrects to around 1,600 points and rebounds, it is possible to consider disbursing a low proportion. If the market returns to the 1,540 point area, there will be a clearer buying opportunity for medium-term positions. Investors can disburse more strongly, focusing on stocks with many driving forces such as benefiting from upgrading, strong business growth results; or lower valuation levels compared to the general market.