20170309_BSC_Vietnam Daily Review_EN_Between the devil and the deep blue sea_ Company update_ PVB - Petrovietnam Coating JSC

Highlights

Today, the market witnessed that VN Index fluctuated in a narrow amplitude. Unlike the two previous sessions, the index today was in the rally from the morning, maintained this condition to the middle of the afternoon before experiencing a slight correction, when the session ended. VN Index closed at 715.8, implying a 0.11% decrease compared to the reference level. The major supports coming from the banking stocks with the increase of familiar Blue-chips, such as: VCB, BID and CTG. However, other Blue-chips like SAB, GAS and VIC…. got the bearish trends in this session, which kept the market down. The Construction and Real Estate group took a strong drop today, in which, the main contributors were FLC and HBC. The liquidity has been kept at a high level and the breadth of the market showed the negative signs because bearish stocks became dominant as compared to the bullish ones on HSX (136 shares/114 shares). Besides, HNX and Upcom maintained the rally in most of the trading time, HNX – Index closed at 87.72 (+0.21%); whereas, this figure for Upcom – Index was 57.24 (+0.28%).

Recommendation

The supporting level at 715 continued to be maintained, thanks to the bright point of the Banking stocks and the recovery of ROS, HPG. Investors are waiting for macroeconomics information from the global market to make better decisions. Currently, they have focused on cut down the proportion of stocks in the portfolio, concentrating on the Blue-chips, such as: VIC, SAB, GAS,…We beileve the trading session tomorrow could keep the similar patterns to other ones in this week. It is difficult for the VN Index to reach the strong resistance level of 720 and only fluctuated around 715. Investors should consider buying stocks getting good business results and being strongly sold out recently, but the proportion should be small. They should follow information provided from shareholder meetings to evaluate investment opportunities in the future after the negative information of macroeconomics is reflected.

Company Update
PVB - Petrovietnam Coating JSC.