20160720_BSC_Vietnam Daily Review_EN_Lonely bird

Highlight

The negative movement was lengthened to today trading session. Blue-chips, except VNM, continued to lose motivation, letting market fell quickly since opening. Morning session was traded negatively as market went down and fluctuated widely with very weak liquidity. Closing, VN-Index tested the threshold 660 points 4 times during the session before closing lost 1.12%. Today, thanks to the news that 100% foreign room of VNM will be updated, so that it enjoyed strong gain to support the market.

Recommendation

The market continued to decline following the previous session, lost 1.12% and close to the support level of 660, trading volume continued to remain at low level, below the 10-day average. The market was quite negative, except VNM, most of blue-chip stocks had big adjustments and catching-bottom activities appear to be quite weak. The support levels of VN-Index and HNX-Index are now at 660 and 85. The support level of 660 will likely to be challenged again in the next session. In case this support level is broken, investors are recommended to reduce stock proportion to a safe level to avoid the downside risk in short term.