20160824_BSC_Vietnam Daily Review_EN_Active trading on Steel

Highlight

Market transactions went excited when VN-Index rose nearly 5 points to approach 665 threshold before decreasing gradually during the day and closed at 660.8 (+ 0.24%), HNX-Index also rose slightly to 83.13 (+ 0.02%). Blue-chip stocks like VNM, VCB, CTG, KDC, HSG maintained rising momentum until the end of the session, helping VN-Index keep the green. Market liquidity did not change much from last session and remained lower than the 10-day average. Market breadth weakened with 175 advancers / 198 decliners. Foreign investors remained net sellers with nearly net 95 billion on the HSX, net buyers on the HNX.

Recommendation

Positive sentiment took place in the early morning session, the market reached and exceeded the resistance level of 665, however, selling pressure returned to pulled market back to around 660 till the end of the session. Foreign cash flow was not really positive back and remained net sellers on HOSE. Market liquidity is still concentrated on a few Bluechip such as HPG, VNM, MWG, HSG, KBC which worth more than a hundred billion. Market cash flow tends to return to the group of Largecap stocks while SmallCap corrected today. VN-Index accumulates around 650-660 for the 10th session, better liquidity but has not improved over the past 15 sessions. Investors can take advantage of the rebound of the market over the coming days to lower the proportion of the equity portfolio, though the market remained bullish in the medium term, but it could happen given market correction to test the 645-650 milestone before positive cash flow back. Cautious investors should maintain a steady cash flow to repurchase shares in the portfolio in the event of correction to the lower price.

Company Updates - VTH - Viet Thai Electric Cable Corporation (HNX)