20160726_BSC_Vietnam Daily Review_EN_Sign of balance_Technical views - BCC

Highlight

The negative trading session of oil spreaded to power group in US market, leading the indices fall. The same movement was seen in Vietnamese market as GAS was the major lagger making market opened by a strong fall to below 645 pts. Only after VNM started rally, joined by HPG thanks to overexpectation Q2 result, lifted market recovered but VN-index ended in red with relatively low liquidity. However, positive points still appeared some stocks such as Steel and Seafood which had positive Q2 results.

Recommendation

The market closed marginally lower (-0.1%), there was time it corrected to the support zone 640-645 and rebounded, trading volume improved compared to the previous trading day though still lower than 10-day average. Although money flow did not improved on all the large-cap stocks, trading volume has rebounded on some Bluechip like HPG, HSG, BVH, DPM, VNM. The market showed divergence as some stocks have good Q2 results such as HPG, HVG, NCT, TIP, DAG had better movements than general market and stocks had corrected sharply such as PAC, EVE, HSG rebounded. In terms of technical view, support area of 640-645 becomes tougher when VN-Index has approached it and rebounded twice. VN-Index closed creating doji candlestick pattern, signling that demand-supply is somehow balanced at this price in the short term. Foreigners were net buyers is also good support for the market. Based on the aforementioned points, the market is expected to trade in a narrow range in the next session and may technically rebound. Openning new position is not recommended in this context.

Technical Views - BCC - Bimson Cement Jsc. (HOSE)