Increased profit-taking pressure caused the VN-Index to reverse and fall.
Increased profit-taking pressure as the VN-Index approached a strong resistance zone narrowed the upward momentum, forcing the market into a period of volatility.
Opening the trading session on the morning of June 24th, despite continued negative market breadth with a majority of declining stocks, the VN-Index maintained its upward trend and approached the 1,880 - 1,890 point range thanks to the support of LPB and the Vingroup ecosystem stocks.
The market's focus was on LPB following news that Mr. Pham Nhat Vuong appeared on the list of shareholders owning nearly 4.9% of the capital, ranking second at the bank. After the previous session's maximum price increase, LPB continued to maintain its ceiling price increase this morning at 56,200 VND/share.
At the same time, VIC briefly rose by nearly 6%, while VHM and VRE also traded positively, contributing to the VN-Index surpassing the 1,890 point mark.
However, as the index approached strong resistance levels, profit-taking became more apparent. The gains of LPB and Vingroup stocks gradually narrowed, while selling pressure spread to many other stocks on the market, causing the number of declining stocks on the HOSE to at times exceed 200.
The real estate sector saw mixed performance, with VIC (+0.09%), VHM (-0.06%), NVL (-1.63%), PDR (-2.03%), KDH (-0.68%), and VPI (+2.1%). Similarly, in the banking sector, LPB (+6.84%) hit the ceiling, while SHB (-0.36%), MBB (-0.2%), VPN (-0.94%), TCB (-0.78%), STB (+0.84%), and ACB (+0.22%) all saw mixed results.
In the financial services group, VIX (-1.75%), VND (-1.69%), SSI (-1.12%), SHS (-1.63%), HCM (-2.36%), TCX (+1.28%) and MBS (-2.46%) all declined.
At the close of this morning's trading session, the VN-Index fell 3.35 points to 1,865.69 points (-0.18%) compared to the previous session. Similarly, the HNX-Index decreased by 320.8 points (-1.71%), equivalent to 5.58 points, and the UPCo M-Index decreased by 127.12 points (-0.24%), equivalent to 0.31 points.
Market liquidity reached VND 8,598.02 billion, with 306,000 shares traded. Across the sector, 48 stocks rose, 231 fell, and 56 dropped to their reference price.
According to experts at Asean Securities Company, with the market expected to continue fluctuating within a narrow range in the next trading session, short-term investors should maintain a safe proportion of stocks, avoid chasing prices, and focus on trading within price ranges. They should also pay attention to sectors with unique stories, such as state divestment, economic development resolutions, market upgrade roadmaps, and new oil and gas exploration cycles.
Simultaneously, medium- and long-term investors can take advantage of corrections to support levels to gradually disburse funds into stocks with strong fundamentals and high liquidity in the Banking, Securities, Retail, and Public Investment sectors.
According to experts at AIS Securities Company, the VN-Index maintained its recovery momentum in terms of points, but selling pressure emerged towards the end of the session, narrowing market breadth.
The main support came from the banking sector and Vingroup. Conversely, downward pressure was present in the energy, infrastructure services, and basic materials sectors.
In the upcoming trading sessions, short-term volatility as the VN-Index maintains its recovery momentum will be a frequent occurrence. The next target for the market will be to reach the psychological resistance level of 1,900 points.
Taking advantage of market fluctuations, investors should consider participating in banking and securities stocks that are attracting short-term capital.
