20160831_BSC_Vietnam Daily Review_EN_Foreign Investos sold VCB strongly - Sector updates - ceramic tiles

Highlight

In contrast to the gloomy developments in the morning session, the market opened the afternoon session with stronger positive cash flow. Closing the session, the VN-Index rose 1.96 points (+ 0.29%) to 674.63, the HNX-Index increased 0.49 points (+ 0.58%) to 84.17. The liquidity in the market was higher than the previous trading session, with 153 million shares changed hands, equivalent to transaction value of about 3,400 billion. Notable put-through transactions include STG with 10 million shares and SAM with 2.27 million shares changing hands. TTF and DRH continued to increase to ceiling in this session with large overbought. In contrast, TNT has not yet stopped down. The market breadth continued to maintain positive with 228 gainers and 155 losers on the 2 floors. Foreign investors remained net sellers on the HSX with the net value of about 30 billion, focused on VCB.

Recommendation

Market index moved closer to the resistance level of 680 today, liquidity increased but not improved compared to the 15-day average volume. The market rose only slightly despite that VNM increased 4 points in the session, the reason came from the selling pressure by foreign investors today put on VCB with its trading volume spiked. Market cash flow remained at a certain number of sectors, foreign transaction were showing signs of growing up in both sell and buy side, market index went closer to 680 - the old peak. We still hold the point that it is a chance for investors to lower proportion of stocks when the market is approaching this milestone in the next trading session, take short term profit and maintain a reasonable amount of cash to make a purchase of shares as the market falls back to 660 price zone.

Sectors updates - ceramic tiles - CVT - CMC Jsc. (HNX), VIT - Viglacera Tien Son Jsc.(HNX), TLT - Viglacera Thang Long JoSC (Upcom)