The stock market entering June still does not have many significant new signals on the electronic board when the main trend is still differentiation, low liquidity and the price range of most industry groups is only at a low level, trading is generally quite faint.
Liquidity decreased, while Vingroup and oil and gas stock groups simultaneously decreased sharply, causing the VN-Index to continue to sink into red, increasingly moving away from the 1,900 point mark.
At the end of the trading session on June 1st, HOSE had 165 gainers and 133 losers, VN-Index decreased by 18.95 points (-1.02%), to 1,844.54 points. Total trading volume reached more than 506.9 million units, worth 15,047.5 billion VND, down 26% in volume and 23% in value compared to the previous weekend session. Block transactions contributed more than 75.5 million units, worth 3,607 billion VND.
Regarding foreign investors' transactions, this group continued to net sell more than 646.95 billion VND on the HOSE exchange, focusing on ACB (109 billion), BSR (88.35 billion), MSB (87.94 billion) and VIC (76.21 billion) codes.
The oil and gas stock trio GAS, PLX and BSR eased their decline after having an explosive session last weekend (GAS hit the ceiling, PLX and BSR edged up more than 4%). Accordingly, BSR led the decline when -3.9% down to 28,600 VND, GAS lost 3.7% down to 84,200 VND and PLX -3.1% down to 39,750 VND.
According to the assessment of DSC Securities Company, the market currently does not fully show the usual signals of a "FOMO distribution" phase. In previous large peak periods, the market often appeared in a liquidity explosion state when FOMO cash flow strongly participated in the final phase of the upward wave. However, at the current pace, trading volume is even still about 15% lower than the previous bottom.
This has an important implication: the market has not shown widespread excitement accompanied by distribution signs often seen in the peak area. In other words, there is no sign that cash flow is "rushing into the market" at all costs or FOMO buying force is strongly absorbed by profit-taking pressure in high price areas like large peak periods.
DSC experts believe that cash flow is still locally concentrated, the number of stocks participating in the upward trend is not large and liquidity has not exploded. If purely considering historical data on time, amplitude of increase, liquidity and market breadth, VN-Index currently does not fully converge the usual factors of a peak zone in an upward wave.
Another factor putting pressure on the market is cash flow. Foreign investors continued to net sell in May with a scale of about 19,500 billion VND. Accumulated in the first 5 months of the year, the net selling value is about 65,000 billion VND, extending the period of strong capital withdrawal in recent years.
Meanwhile, domestic cash flow has not really improved in the context that the general level of interest rates is still maintained at a high level. Since the beginning of the year, the market has not formed a wave large enough to activate speculative cash flow to return, causing the main diễn biến to still be sideways fluctuations and cash flow rotating between industry groups.
In that context, experts believe that a suitable short-term trading strategy is to approach the support - resistance zone. However, this is not an easy stage to make a profit when the trend is not clear and cash flow is not strong enough to create a breakthrough.
Therefore, a more appropriate orientation is to maintain a moderate proportion, prioritize accumulation and selective holding. More importantly, investors need to maintain a stable psychological state in the face of market fluctuations, avoiding extremes in both the upward and correction phases.
