Market Update [December 12] – VN-Index passes 960 as bank stocks rally
On Wednesday (December 12th), the VN-Index passed 960 thanks to the rise of bank stocks. In addition, oil & gas stocks took the blue ribbon, helping to support the market.
By the closing bell, the VN-Index rose 6.7 points (+0.7%) to close at 961.28. Trading volume was over 220 million shares, worth VND5,100 billion. Breadth was widely positive, with gainers topping losers 182 to 91. Foreign investors net bought VND88.4 billion on the HSX.
In view of technical analysis, the VN-Index’s chart shows a blue candlestick, and breaks out the MA(100) and MA(5), which are quite positive. Therefore, we believe that, in a positive scenario, the VN-Index will test the nearest resistance range of 970 – 980, at which investors can sell a part of the existing short-term portfolio. In a negative scenario, the nearest support range of VN-Index is forecast at 950 – 960, the next support range is expected at 930 – 940. Based on Kelly formula, the recommended proportion of the portfolio is 30% cash/ 70% stocks.
Please see the attached file for more details.