BSC - Vietnam Daily Monitor 2015.12.21 - The market to rebalance

Summary

The two indices diverged on Monday. VN-Index fell slightly, while the HNX-Index kept green by the end of the session. Market breadth was not much improved compared to that in last week. Foreign investors were net sellers on HSX. However, they are buying on HSX if excluding the selling value on MSN.

Recommendation

We expect the market to trade sideways and toward the 580 point mark after recently bottoming at 561 points. The money in the market has not proved stronger. Hence, we recommend increasing the proportion of basic shares in the next correction, while curbing buying activity in the rally.