Market Update [December 19] – VN-Index loses 920 after falling over 8 points

19/12/2018 17:10

Report: Market Update

On Wednesday (December 19th), the VN-Index traded on a negative note, and lost 920, highlighting the poor performance of bluechip stocks. In particular, VNM, VCB, GAS, CTG, HPG, BVH, PLX, VRE, BID and NVL were the large-cap losers, offsetting the small gains in MSN, VJC, MWG, FPT, STB, ROS, BHN and EIB.

By the closing bell, the VN-Index lost 8.01 points (-0.86%) to close at 919.24. Trading volume was nearly 190 million shares, worth VND4,600 billion. Breadth was widely negative, with losers topping gainers 109 to 178. Foreign investors net sold VND156 billion on the HSX.

In view of technical analysis, the VN-Index’s chart shows a red candlestick called ‘Hammer’ at the support range of 910 – 920, which is quite positive. Therefore, we believe that, in a positive scenario, the VN-Index will test the nearest resistance range of 930 – 940, 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 910 – 920, the next support range is expected at 890 – 900. Based on Kelly formula, the recommended proportion of the portfolio is 90% cash/ 10% stocks.

Please see the attached file for more details.