Supply could be tested at 1.110-1.115 zone

The rise of pharmaceutical and electricity stocks saved the market from the early session's tug-of-war, liquidity cooled down somewhat but remained at a good level.

At the end of the trading session on June 9, VN-Index increased by 6.21 points, equivalent to 0.56% to 1,107.53 points. The entire floor had 190 stocks increasing, 191 stocks decreasing and 54 stocks remaining unchanged.

HNX-Index increased by 0.82 points, equivalent to 0.36% to 227.60 points. The entire floor had 84 stocks increasing, 86 stocks decreasing and 68 stocks remaining unchanged. UPCoM-Index increased by 0.17 points to 84.19 points. The VN30 basket alone recorded 17 stocks increasing in price.

The total matched value of the entire market reached 19,392 billion VND, down 30% compared to the previous session, of which the matched value on the HoSE floor alone decreased 30% to 16,526 billion VND. In the VN30 group, investors transferred 5,643 billion VND.

Investment Comments

VCBS Securities: From a technical perspective, VN Index ended the week creating a hammer candlestick thanks to demand near the end of the session. In terms of the daily chart, the RSI indicator tends to increase again, but is still at a high level, so the probability of forming 2 peaks creating a negative divergence reversal at the peak area still needs to be taken into account.

VCBS recommends that investors consider realizing partial profits to maximize short-term risk management, especially when the market is still shaking and fluctuating with unclear trends in the short-term resistance zone.

BOS Securities: Technically, the VN-Index's decline and strong recovery at the end of the session are positive signs. Especially when the index closed above the short-term MA5 with volume remaining high. However, volume still decreased by nearly 31% compared to yesterday's strong selling session, showing that the upward trend is uncertain. Investors should consider taking profits from their portfolios and not buying new ones when the index is near a strong resistance level.

Rong Viet Securities: With the support movement, it is likely that the market will retest the supply in the 1,110 - 1,115 point area in the next trading session. If the supply in this area cools down, the market can continue to gradually move towards the resistance area around 1,125 points.

Therefore, investors can hold or exploit short-term opportunities in stocks with good technical signals and attracting cash flow. However, it is necessary to consider taking profits in stocks that increase rapidly to the resistance zone or are under selling pressure from the resistance zone to realize the results.

Stock news

- China's inflation remained low in May 2023, as the world's second-largest economy recovered slowly due to weak demand and a sharp decline in exports. China maintained low interest rates, while most major countries raised them sharply to fight inflation.

Canada and Australia shocked the world by raising interest rates again this week. China's producer price index (PPI) fell 4.6% year-on-year in May, up from a 3.6% decline in April and the sharpest decline in seven years. Economists polled by Reuters had forecast a 4.3% fall.

- According to the Ministry of Finance , although domestic revenue in the first 5 months of the year was quite good compared to the estimate, it is on a downward trend, revenue in January reached 14.7%; February reached 7.7%; March reached 8.9%; April reached 9.9%; estimated implementation in May reached 6.4% of the estimate. Regarding local revenue, according to the Ministry of Finance, it is estimated that 17/63 localities achieved domestic revenue in the first 5 months reaching over 48% of the estimate; 13/63 localities had revenue growth compared to the same period, while up to 50 localities had lower revenue compared to the same period.

Along with that, import-export activities in May continued to decline; the cumulative import-export turnover of taxable goods as of May 15, 2023 reached about 45.5 billion USD, down 19% over the same period in 2022. Regarding state budget expenditure, in 5 months it reached 653.1 trillion VND, equal to 31.5% of the estimate, up 10.9% over the same period in 2022 .

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