Market Update [October 29] – VN-Index posts 8-day losing streak

29/10/2018 17:07

Report: Market Update
Source: ASEANSC
ASEANSC’S VIEWPOINTS

On Monday (October 29th), the VN-Index closed lower for the eighth straight session. In particular, GAS, VHM and BID were the three most negative impact on the index, falling 4.72%, 4.92% and 5.56% respectively. Conversely, VIC, SAB, VRE, BVH, MBB and FPT were the large-cap gainers, helping trim the losses.

By the closing bell, the VN-Index fell 12.00 points (-1.33%) to close at 888.82. The HSX’s trading volume reduced to nearly 140 million shares, worth over 3,200 billion. Foreign investors net sold nearly VND65 billion on the HSX.

In view of technical analysis, we believe that, in a negative scenario, the VN-Index will test the nearest support range of 860 – 880, the next support range is forecast at 820 – 840. In a positive scenario, if the index rebounds, the nearest resistance range of VN-Index will be forecast at 900 – 920, at which investors can sell a part of the existing short-term portfolio.. Based on Kelly formula, the recommended proportion of the portfolio is 90% cash/ 10% stocks.

Please see the attached file for more details.