VN Index slips under 660 points

30-Nov-2016 Intellasia | Vn Economic Times | 2:15 PM Print This Post

Index down for fourth day in a row on November 29 and joined by other main indexes.

The VN Index closed lower for the fourth day in succession on November 29 and under the 660-point mark. The three other main indexes on the stock market also lost ground.

On HSX the VN Index fell 7.03 points (1.06 per cent) and the VN30-Index 4.84 points (0.88 per cent) while on HNX the HNX-Index lost 0.11 points (0.13 per cent) and the HNX30-Index 0.23 points (0.16 per cent).

The VNAll-Index closed down 5.17 points (0.54 per cent), the UPCoM Index 0.15 points (0.25 per cent), the VNMid Index 8.42 points (1.02 per cent), and the VNSml Index 1.25 points (0.16 per cent).

HSX saw 83 shares increasing and 156 decreasing while HNX saw 106 increasing and 128 decreasing.

Liquidity on HNX was VND303 billion ($13.36 million), 11.6 per cent lower than yesterday, and on HSX was VND2.24 trillion ($98.78 million), virtually the same as yesterday.

VNM increased strongly, by 3.9 per cent, on trade of some VND380 billion ($16.75 million). ROS was again the highest trading share, with VND403 billion ($17.77 million) changing hands as it fell 6.7 per cent in price.

In banking, only MBB increased, by 0.76 per cent, while STB closed at its opening price. BID shed 3.2 per cent, VCB 1.4 per cent, EIB 1 per cent and CTG 0.3 per cent.

In energy, GAS and CNG lost 5.1 per cent and 0.3 per cent, respectively, while PGD closed up 2.1 per cent.

Among large caps on HSX, VIC was down 2.4 per cent, MSN and BVH 2 per cent, and HPG 0.9 per cent.

Among large caps on HNX, ACB, PHP, PVI, and SHB closed at their opening price, NTP and PVS increased 0.9 per cent and 0.6 per cent, respectively, and VCS lost 5.7 per cent, VNR 1.4 per cent, VCG 1.3 per cent and DBC 0.3 per cent.

Foreign investors net sold on HSX by VND255 billion ($11.24 million) while net buying on HNX by VND3 billion ($132,300).

After rising slightly early in the morning, the VN Index quickly headed downwards amid stronger selling pressure in large caps from foreign investors. GAS, BVH, VCB, BID, ROS, VIC, and MSN dragged the market downwards. The VN Index marked four consecutive days of losses and closed under 660 points. Commodity-related stocks were mostly down on skepticism over a deal at OPEC to cut output. Conversely, VNM soared after a four-day losing streak as the SCIC announced a starting price of VND144,000 ($6.35) per share, higher than the current price. VNM’s recovery only helps stem the tide and couldn’t offer major support. The market is still under downward pressure as foreign investors remain active net sellers and the OPEC saga isn’t reassuring investors.

Technically, the VN Index has formed a long bearish candlestick with high liquidity. This is a negative sign, showing that the Index may decline in coming sessions. However, selling is likely to weaken as the VN30-Index approaches the MA200. Our trend confirmation indicators remain downward on the VN Index and HNX-Index with resistance ranges of 660-665 and 82-82.5, respectively. Our money and trend confirmation indicators have kept a downtrend and approached over-sold levels. As a result, market risk remains high. We expect the appearance of bottom-buying as the VN Index fall to a short-term support range of 645-650. Therefore, investors with high stock weights should stay calm as the market is likely to rally. Meanwhile, there are opportunities for investors with high cash proportions to make disbursements as fundamentally good stocks drop to strong support ranges.

KIS Vietnam Securities Corporation


Category: Stocks, Vietnam

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