In yesterday's trading session of the stock market, the VN-Index did not increase too much, but this is bringing many positive signals. From the lowest point of the session, the market recovered 15 points in a row in yesterday afternoon session.
Market opening also recovered impressively with 15/21 industry groups gaining points. The only downside is that liquidity has not really exploded, only approaching the average level of 20 trading sessions.
According to some analysts, the two weeks before Tet are often crucial. If the current decline slows this week and recovers next week, investors can buy back in. By then, the worst stories will have been priced into the market.
Regarding the current market concern of exchange rate, Dr. Nguyen Duy Phuong, Investment Director of DG Capital analyzed that currently, not only Vietnam but the whole world is concerned about the USD appreciation. Factors such as high US yields and the Fed may temporarily stop lowering interest rates; trade policies are bringing money back to the US... have greatly reflected in investor sentiment.
In the Vietnamese stock market, the short-term psychological bottlenecks have not been resolved, combined with the selling pressure that has not shown signs of exhaustion, leading to the market's continued correction. This week, the derivatives market will implement the January 2025 contract expiration on Thursday and from now until then, the "shocks" may recur.
"The appearance of technical recovery sessions will have a higher probability of occurring in the new week, before creating an equilibrium point and reversing to recover. Moreover, statistics on trading activities before and after Tet in the past 5 years show that the developments in the weeks after Tet tend to be more bullish," said Dr. Nguyen Duy Phuong.
Experts from VCBS Securities Company believe that with many stocks having discounted to low prices, a technical recovery may occur in the next session, but the market has not yet confirmed that it has reached equilibrium.
VCBS recommends that investors proactively take advantage of the recovery in the session to reduce the proportion of stocks that have lost their medium-term uptrend. At the same time, closely follow trading developments in the coming sessions to promptly increase the proportion of stocks for the purpose of "surfing" as soon as there are signs of a more certain short-term bottom.
UP Securities Company also believes that investors should wait for clearer signals about market trends before deciding to buy, avoiding buying in bullish sessions. Along with that, focus on stocks with good fundamentals, positive business prospects and less affected by market fluctuations.
On the other hand, observe important support and resistance levels, along with foreign block movements and liquidity to make appropriate decisions. In addition, set reasonable stop-loss levels for each position and adhere to investment discipline to protect capital during volatile market periods.
Overall, the market is in an accumulation phase with a clear differentiation between sectors and stocks. Investors need to remain cautious, manage risks effectively and wait for clearer positive signals before increasing their investment proportion.
