The stock market opened yesterday (July 17) in green and at one point seemed to have conquered the 1,290 point threshold thanks to the leadership of banking stocks. However, before reaching this threshold, strong selling pressure in other industry groups caused VN-Index to turn down and was only stopped when it reached the MA20 support level.
Entering the afternoon session, the cash flow once again found the banking group, even stronger than the morning session, pulling many banking stocks to the ceiling such as MBB to the ceiling of 25,150 VND, TCB also to the ceiling, then spread. radiating to other codes/industry groups, pulling VN-Index to the threshold of 1,290 points. However, as soon as the index surpassed this psychological resistance, selling pressure was waiting and was released massively into the market, pushing VN-Index straight down.
Right before entering the ATC order matching session, sell orders suddenly poured into the electricity board, causing the VN Index market to quickly reverse and decrease. Facing strong selling pressure from other groups, especially the real estate industry , the market did not have enough strength to keep the VN-Index maintaining its upward momentum at the end of the session.
At the end of yesterday's session, VN-Index decreased 12.52 points (0.98%) to 1,268.66 points. The sell-off in the last minutes of the session helped liquidity increase sharply with 1.23 billion shares transferred on HoSE, equivalent to a transaction value of 29,327 billion VND. Across the market, the total trading value today reached 33,500 billion VND.
In the context of a strong sell-off wave from domestic investors, the surprising thing is that foreign investors turned to net buy 358 billion VND on HoSE. On HNX and UPCoM, foreign investors net bought VND 5.3 billion and VND 56 billion, respectively. Banking stocks were also the industry group that foreign investors bought the most in yesterday's session.
Currently, according to analyst Dr. Nguyen Duy Phuong - Investment Director of DG Capital, resale pressure is concentrated on leading stocks of industry groups in the previous period such as steel, shipping, Airlines show that stock holders are making more drastic profit-taking moves. Therefore, this expert maintains the view that the expected balance zone is the threshold of 1,265-1,275 points, investors should consider paying attention to disbursement.
Quantitative indicators do not show any deterioration in the market as cash flow still "sticks" well in stock groups, especially groups leading this recovery wave such as banks. The discount level in the group of stocks with good growth is not too strong, the price base of the stocks shows no signs of being violated. This is consistent with cumulative movements and consolidation after the previous week's bounces.
Besides, the quantitative indicator still shows that demand is strong enough to absorb short-term supply and dominate the current recovery. The circulation of cash flow is recorded to continue smoothly, despite the fluctuations. Accordingly, the next developments can be expected to see increases again, especially in stock lines that have had a cumulative price base, while the room for growth is still attractive.
