The first trading week of September did not meet the expectations of investors and experts when there was no breakout session to return to the old peak and surpass the 1,300 point mark. On the contrary, 2 adjustment sessions before a slight recovery at the end of the week made investors quite cautious.
The stock market ended last week with a green Doji candle, reflecting investors' hesitation at the resistance zone, accompanied by low liquidity due to fewer trading sessions after the National Day holiday.
Foreign investors still maintained a fairly large net selling power. Although only trading 3 sessions in the first week of September, foreign investors net sold up to 1,220 billion VND, in which VPB and HPG were the 2 codes sold the most.
The indicators still maintain a sideways trend, showing that the market is still in a range accumulation phase and has not confirmed a clear uptrend.
However, there are signs of an improvement in position, as the VN-Index ended the week above 1,273 points, showing psychological stability at the end of the week.
The downside of the current period is still liquidity, when there is no sign of the cash flow being determined to re-enter the market, creating the premise for the index to surpass the peak.
September is considered a pivotal month with information expected to have a positive impact on the market. One of the information that investors are most interested in at the moment is the US Federal Reserve (Fed) sending out the message that "it is time to lower interest rates" and expecting inflation to fall to 2%.
Obviously, this is positive news, supporting the global stock market. Inflation concerns have passed. The Fed is likely to cut interest rates by 0.25 - 0.5% at its September meeting. Investor confidence has returned. In addition, FTSE Fussel may put Vietnam on the upgrade list.
Many experts believe that the process of returning to the old peak could take place next week and surpassing the 1,300 point mark in September could be a likely scenario.
SHS Securities Company commented that the short-term trend of VN-Index maintains growth above the nearest support zone around 1,270 points, stronger support at 1,250-1,260 points corresponding to the highest price zone in 2023 as well as the convergence zone of the average price of 20, 60, 120 sessions.
With the current developments, the index will continue to strive towards the 1,280 point price zone, while VN30 will retest 1,325 points, the highest zone of July 2024, next week.
Experts from VCBS Securities Company also have the view that the main trend of the market will still be towards the 1,300 point area. VCBS recommends that investors maintain the proportion of stocks in their portfolios and can take advantage of the fluctuations to surf and reduce the capital price of the stocks available in the portfolio.
In addition, investors can also consider disbursing for short-term surfing purposes at low price levels during the session for stocks in industry groups such as securities, public investment or real estate.
Experts from Asean Securities Company said that the market opened last weekend with a tug-of-war around the reference level in the first minutes of the session, reflecting the cautious sentiment of investors. Increasing selling pressure gradually caused the VN-Index to lose balance and move into a correction state.
The overall market liquidity was much lower than the previous session, creating the premise for a recovery towards the end of the day, but overall buying behaviour was still relatively cautious. In the context of risks still existing, investors are advised to maintain a moderate stock weight and prepare cash to take advantage of opportunities when the market is more stable.
