Market Trends: It’s risky, but also a great opportunity
- Vietnam stock market recovered from the yesterday lost and had a fantastic up move at the close thank to the positive news of reopening progress and the comeback of banking tickers.
- At the end, VN Index edged up 10.37 points more, equivalent to +0.78% and stopped at 1,343.98points. Market liquidity had not much change with the trading value of VND 19,538 bn for 642mn shares traded. Meanwhile, foreign investors had the 9th net selling session in a row with a net a value of 536bn.
- MWG (+6.73%), GVR (+2.44%), MSN (+2.34%) were the tickers that contributed the most and lifted VN Index up. On the other hand, VIC (-0.76%) fall, along with NVL (-0.77%) and VCB (-0.4%) suppressed the index's gain.
- The government made radical moves showing activeness in preparing for reopening by easing some essential services. That has partially reduced investor concern about Q3 earning result and have more positive view for Q4. In addition, piloting reopening tourism services is under consideration seriously. As a results, some impacted industries including airline, retails were attracting cashflow. Meanwhile. The government warned investors about risky in corporate bond investment, which partly shift the taste of investors among asset classes. In short-term, the market will be stable despite of epidemic uncertainty.
- Technically, VN Index got back all lost in the session before and closed above the middle line of Bollinger Bands and MA50, which will be reliable support levels. If the uptrend holds, the index will be able to retest the old peak in August around 1,360-1,380 zone. In addition, the MACD is still showing a buy signal, combined with the rise of the RSI and both are retesting the short-term downtrend line. If this resistance
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