20191119_BSC_Vietnam Daily Review_EN_SBV reduced interest rates, the market rebounded_TA_BMP_ Uptrend

Market outlook 
Before the support around 1,000 points, VN-Index recorded a recovery from the morning thanks to the support of VNM, VCB and REE. In the afternoon, the gaining momentum was strengthened and the index ended the session at 1,008 points when VCB, VNM, BID, TCB, and PLX continued to break out. The main factor affecting the market today came from the announcement of a 0.5% reduction in deposit interest rates and lending rates in some industries and fields. This is considered a move in line with the recent 0.25% interest rate cut by the Central Bank of China as well as the government’s goal of further reducing at least 0.5% of lending interest rate by 2020. As mentioned in BSC’s report on Decision 1870, the market generally responded quite positively to the interest rate cut information as BSC estimates indicated that most industries (except Insurance) noted the impact from Neutral to Positive. For the report, please refer to (link).

Future contracts: Except for VN30F2003, all future contracts increased following VN30. Investors should prioritize buying with target price around 950 points for long-term contracts.

Covered warrants: In the trading session on November 19, 2019, majority of coverred warrants increased following  underlying securities. Trading volume increased. VIC continued to adjust downward after short-term accumulation around 119. Liquidity increased, confirming signal for short-term adjustment according to momentum indicators. Downward movement of VIC could create downward pressure on its warrants in the coming sessions.

Technical analysis: BMP_ Uptrend
(Please go to page 2 for buy/sell status of stocks and page 4 for Blue chip stocks information)

Highlights
• VN-Index +5.44 points, closed at 1,008.35. HNX-Index +0.34 points, closed at 105.49.
• Pulling up the index: VCB (+3.81); VNM (+1.87); BID (+0.41); TCB (+0.31); PLX (+0.28).
• Pulling the index down: VIC (-0.96); GAS (-0.55); SAB (-0.37); EIB (-0.14); MSN (-0.14).
• The matched value of VN-Index reached 3,200 billion dong, -6.0% compared to the previous session.
• The trading band is 7.00 points. The market has 179 gainers, 74 reference codes and 137 losers.
• Foreign net-selling value: VND 27.02 billion on HOSE, including VIC (45.27 billion), VJC (30.69 billion) and HPG (23.06 billion). Foreigners were net sellers on the HNX with a value of 2.45 billion dong.