VN-Index returned to the 1,300-point mark after many years. However, concerns about the market's indecisive breakthrough have caused many investors to take profits in this area, leading to concerns about short-term market risks.
The market has just experienced a volatile trading week, VN-Index returned to the old peak of 1,300 points but immediately faced strong correction pressure in the last session of the week. At the end of the week, the main index decreased by 0.6% compared to the previous week, to 1,279 points.
Foreign investors increased their net selling with a value of VND5,525 billion on the HoSE, focusing on leading stocks such as FPT (VND1,797 billion), VHM (VND716 billion), HPG (VND459 billion), VNM (VND420 billion), VRE (VND382 billion).
Last week, many stock groups decreased in price more strongly than the general market, notably BSR oil and gas (down 3.8%), PVC (down 3.7%), PLX (down 2.41%), PVD (down 1.58%); insurance with BVH (down 4.09%), BMI (down 3.43%), MIG (down 2.55%).
Real estate stocks also traded inactively with HDG (down 4.84%), NVL (down 4.07%)... Tourism stocks were differentiated when HVN still increased by 5.52%, on the contrary, VJC decreased by 3.85%, SKG decreased by 2.36%...
Stocks received positive news about the State Securities Commission meeting with a number of securities companies on the issue of upgrading the market. Notably, many cement stocks hit the ceiling in the last session of the week with information about the conference to remove difficulties and promote cement consumption according to the Government's direction, HT1 (up 7,14%), BCC (up 10,98%), BTS (up 11,11%), HOM (up 9,76%)...
Experts from Tien Phong Securities (TPS) commented that strong selling pressure at the end of the week has erased the VN-Index's efforts to increase points over the past 2 weeks. What is more worrying is that in this down session, selling pressure poured into the ATC session and liquidity increased at the end of the session.
Next week, if the market continues to decline sharply, a bigger challenge will arise from selling pressure from investors who have not yet reacted and the margin call effect may be triggered. Investors are advised to wait for the selling pressure to weaken before buying stocks. In the medium and long term, this decline may open up a good buying zone.
With the market falling sharply after a few sessions of struggling at the peak of 1,300 points, the analysis team of Dragon Capital Securities (VDSC) forecasts that VN-Index will have a technical recovery when entering the new trading week, re-testing the supply at the 1,285 - 1,293 point area. The current weakening signal is showing that the move to surpass the old peak of 1,293 points has failed and may pose risks to the market in the short term.
VDSC recommends that investors be cautious, avoid falling into an overbought state, and can consider the market's recovery to take profits or restructure the portfolio to minimize risks.
The analysis team of KB Securities Vietnam (KBSV) believes that after a series of increases and differentiation, just about to surpass the psychological resistance level of 1,300 points, the sharp decrease of VN-Index with increased liquidity in the last session of the week shows that the pressure of low price distribution has become clearer. This signal has a rather negative meaning for the short-term trend of the index. Most likely, VN-Index will react to recover at the support zone near 1,270, the risk is that the index may soon reverse after that.
Source: CafeF
