Stock Market Daily Forecast: Buying on dips

In yesterday's trading session, the VN-Index opened up 15 points, but the increase was mainly due to the gains of Vingroup stocks. By mid-session, bank stocks began to respond to the VN-Index's gains, with some stocks surging strongly compared to the beginning of the session, thus helping the VN-Index widen its increase to more than 30 points in the latter half of the morning session.

Besides the index support from Vingroup stocks with VIC (5.52%) and VHM (2.12%), the yesterday morning session also saw the increase of banking stocks such as STB (reaching its ceiling price), SHB (2.13%), and TCB (2.12%). At the end of the morning session, the VN-Index closed at 1,734.32 points, up 29.36 points from the reference point.

In the afternoon trading session, the VN-Index continuously widened its gains and quickly approached the 1,750-point mark thanks to the continued positive performance of the banking stocks. Large-caps, notably Vingroup stocks, MSN, MWG, and several other banking stocks, continued to drive the market's momentum in the afternoon.

In addition, the steel and public investment construction and real estate stocks also attracted renewed capital after many stocks successfully tested support levels. The upward trend continued into the ATC session, helping the VN-Index close at its highest point of the day, around 1,750 points. Green continued to dominate the market with 216 gainers and 97 losers.

Foreign investors continued to be net buyers today, with a total net value of VND 512.34 billion, mainly buying MWG, GEX, and VIX.

At the close of yesterday’s trading session, the VN-Index stood at 1751.03 points, up 46.72 points, or 2.74%.

The VN-Index closed with a white Marubozu candlestick and closed above 1,750 thanks to strong buying pressure. On the daily chart, both the MACD and RSI indicators are continuing their upward trend, showing strong market momentum. Simultaneously, the CMF indicator remains sideways above 0, indicating continued active buying. The VN-Index is on its way to the previous peak around 1,770-1,780 points and may experience some fluctuations to test supply and demand at this resistance level and accumulate more momentum before continuing its breakout.

On the hourly chart, the DI and ADX lines are both above 25, further reinforcing the upward trend in the coming sessions. The VN-Index is expected to head towards the nearest short-term peak around 1,770-1,790 points in the coming sessions.

The VN-Index recorded an impressive increase yesterday, led by Vingroup and banking stocks. Given the current market conditions, VCBS recommends that investors take advantage of corrections or fluctuations during the session to gradually disburse funds. On the other hand, investors should avoid chasing rapidly rising stocks and prioritize stocks that are just starting to rebound after forming a consolidation base or stocks recovering from deep price drops, with some notable sectors being securities and banking.