20170526_BSC_Vietnam Daily Review_EN_Quarry Mining sector bounced back

Highlight
In the morning session, VN-Index continued to struggle around the reference level. However, in the middle of the session, the market index dropped from this level and dropped to the bottom level of 740.6 points due to selling pressure from few blue-chip stocks such as VNM, SAB or VCB and oil and gas stocks such as GAS or PLX when oil prices plummeted on the international market. But thanks to the bottom-fishing investors, the market index was up again and broke out of the reference level at the end of the morning session and remained green until the afternoon session. The leading tickers were VNM (+1.02 points), BID (+ 0.48 points), BVH (+0.41 points). On the other hand, the main contributors to the downside were GAS (-0.84), VCB (-0.49), PLX (-0.4 points). Cash flows today continued to pour into the Real Estate, Construction and Securities stock. The pharmaceutical group did not increase as much as in the previous sessions but still remained green in the market. The strong diversion took place in the banking sector, while BID, CTG and MBB continued to gain momentum, VCB, STB and ACB continued to decline. In addition, in today session, stocks of mining industry suddenly returned to the focus point of the market with tickers C32, KSB, DHA, NNC, in which C32 soared to the ceiling level and no longer sell surplus. In terms of market price, the cash flowed into the low price stocks such as KSH, PPI, OGC, and KSA. Market breadth returned to near neutral with losers almost equal to gainers. (134 shares increased / 127 shares decreased). Market liquidity decreased slightly with trading value of VND3,958 billion per session. Market volatility narrowed to 2.9 points. At the end of today trading session, VN-Index increased 1.5 points (+ 0.2%) to 743.41 points; The HNX-Index gained 0.22 points (+ 0.23%) to 93.69 points.

   
Market outlook
Today's market continued moving within the range of 740 - 745 points. The liquidity had sign of declining and was at the lowest level for the week, in addition, the market breadth returned to neutral and the narrow volatility range showed a cautious psychology of investors. Today's money flow continued to rotate between sectors and started to fall into the inattentive sectors such as the quarry mining. On the market capitalization perspective, cash flow spread to small and medium cap sector with low price. These factors showed that cash flow in the market is still in accumulation to break resistance level of 745 points.