The market is hard to fall sharply
The expiration of VN30 futures contracts in April 2022 was relatively “fierce” for investors with a sharp decrease in the morning session of April 21, recovering in the early afternoon but falling again. back in the ATC session before selling pressure spiked in the last minute of the session. At the end of the session on April 21, VN-Index dropped 14.51 points (-1.05%) to 1,370.21 points. The breadth was negative with 311 losers (92 stocks hitting the floor), 58 reference stocks, 132 advancers (8 stocks hitting the ceiling). HNX-Index down 13.43 points (-3.53%) to 366.61 points. The breadth was negative with 189 decliners (63 stocks hitting the floor), 39 reference stocks, 47 advancers (5 stocks hitting the ceiling).
Matching liquidity improved compared to the previous session with a trading value of VND 24,441 billion on the two exchanges, corresponding to a trading volume of 864 million shares. After 2 consecutive sessions of being lower than average, today’s liquidity has surpassed the average of the last 20 sessions. Small and medium-cap stocks were under strong selling pressure, causing many sectors to drop sharply, such as real estate; construction and materials; Oil and Gas; securities… Foreign investors were net buyers on HOSE with a net value of VND934.96 billion, equivalent to a net volume of 33.8 million shares.
According to the experts of Securities Company Saigon – Hanoi (SHS), VN-Index had a 6th consecutive decrease, the last time this index dropped for 6 consecutive sessions was at the end of June 2020. The RSI (14) is currently only at 25 points, this is an oversold level (the VN-Index will enter correction a with target of 1,200 points (fibonacci retracement 31.8% wave 5).
“From a valuation perspective, the P/E of the VN-Index after April 21 is about 16 times, approximately the 5-year average. Meanwhile, VN30’s P/E is only 15.1 times, lower than the 5-year average. With the above valuation, we think that the possibility of a sharp drop in the market is unlikely and in today’s trading session on April 22, VN-Index can still recover if the support level is 1,350 points. held steady“, said an expert of SHS.
The market may return to the uptrend
According to the Company’s analysis team Stock ASEAN (ASEANSC), technically, on April 21, VN-Index shows a green candle in the form of a ‘Doji’ with a long shadow at the support area of 1,360 – 1,370 points, including the 300-day MA, which is quite a positive signal. . This shows that the buyers and sellers are quite struggling and the downtrend has slowed down. Besides, some technical indicators show that VN-Index is in the oversold zone and may reverse at any time.
“In today’s session on April 22, bottom-fishing demand at the support area near 1,360 – 1,370 points can help the VN-Index recover again in the morning session, to test the resistance area near 1,380 – 1,390 points. and beyond is the resistance zone of 1,400 – 1,410 points. The shaking may take place at the high price area, causing the VN-Index to narrow its gain towards the end of the dayexperts of ASEANSC forecast.
Meanwhile, an expert of Yuanta Securities Vietnam (YSVN) said that the market may return to the uptrend when the VN-Index forms a short-term reversal signal and trades near the support zone. short-term support 1,350 points. At the same time, the sentiment indicator continues to plummet into the overly pessimistic zone, so short-term investors need to limit selling at this stage because the market may soon establish a short-term bottom or appear soon. technical retracements. In addition, the VNMidcaps and VNSmallcaps dropped to the 200-day moving average and showed signs of a recovery in the next 1-2 sessions, in other words, the selling pressure may decrease in the coming sessions.
“The short-term trend of the general market is still down. Therefore, short-term investors should limit selling at strong declines during the session and still prioritize bringing margin to low levels to avoid being sold off mortgages from securities companies. At the same time, short-term investors can continue to observe and wait for clearer signs of reversal“, YSVN’s expert recommended.
at Blogtuan.info – Source: vtc.vn – Read the original article here