VN-Index is approaching the important support zone around 1,220-1,225 points. This is an important psychological test zone. If it fails to maintain this zone, the index is at risk of a deeper correction.
Meanwhile, low liquidity further shows weak demand and limited investor participation in the period before Lunar New Year.
The market is still negative, in which foreign investors have not shown any signs of improvement when they net sold nearly 650 billion VND, more than 8 times higher than the previous session, with the main selling focus being bluechip stocks.
Besides, selling pressure focused on large-cap stocks such as banking groups VPB, TCB, STB and technology groups such as FPT, contributing to pulling the market down.
The real estate group continued to trade quietly as liquidity remained low, due to concerns over legal issues and tight credit policies for the sector.
Many analysts believe that the short-term trend of VN-Index is to decline below the nearest resistance zone of 1,245-1,255 points, the highest level in 2023, and the strong support zone of 1,200-1,220 points. The short-term trend will only improve when it surpasses this resistance again.
Meanwhile, VN30 is under selling pressure at the resistance of 1,300 points, under pressure to adjust to the price range around 1,270 points.
Market developments for short-term demand are gradually improving with VN30 and short-term cash flow improving as VN-Index, many stocks continue to be under pressure to correct.
Analysts from VDSC Securities Company said the market is cautious at the 1,235-1,240 point range and will retreat.
The process of probing supply and demand may continue in today's trading session (January 15). However, the support signal on January 13 may still have an impact on supporting the market in the coming time.
Investors still need to observe supply and demand developments to assess the market situation. For now, they should keep the portfolio proportion at a reasonable level to prevent risks or restructure the portfolio to minimize risks until the market develops to create a good support foundation.
Experts from Yuanta Vietnam Securities Company also expressed the view that VN-Index may continue to fluctuate near the 1,230-1,240 point range in the next session. At the same time, indicators have decreased to the oversold zone, so the market may still see recovery periods in the coming sessions, investors should limit selling at the current stage.
Yuanta's short-term strategy is that the short-term trend of the general market remains bearish. Yuanta recommends that investors continue to hold 40-50% of their portfolio in stocks and observe (ie limit buying or selling during this period).
Asean Securities Company (Aseansc) believes that the domestic stock market will continue to fluctuate in the session of January 15 and the upcoming sessions until macroeconomic factors stabilize again.
However, from Aseansc's perspective, macroeconomic uncertainties are entering their final stages, investors should be ready with cash to establish a solid portfolio position in the context of depleted market liquidity and very attractive valuations, and may consider continuing to disburse in part with large stocks with positive fundamentals and business prospects.
Aseansc highly appreciates the stock market in the medium and long term with many supportive conditions such as the prospect of upgrading the market and good growth potential of the internal economy. At the same time, in the long term, the decrease in the DXY index will still be an inevitable trend in the environment of loosening monetary policy, capital flows will gradually return to emerging investment markets with high growth potential like Vietnam.
