Vietinbank Securities has published the Weekly Investment Strategy Report on 01st April, 2024 with the executive summary presented below:
- According to the report from the General Statistics Office, the gross domestic product (GDP) for the first quarter of 2024 is estimated to increase by 5.66% compared to the same period last year, higher than the growth rate in the first quarter of the years 2020-2023. The figures indicate that the Vietnamese economy is gradually recovering, which will have a positive impact on the business activities of enterprises as well as the stock market.
- During the past week, following the incident at VNDirect, the influx of money into the market has shown signs of caution, with both liquidity and average trading value per session slightly decreasing compared to the previous week, reaching values of 24,857 billion VND and 1 billion shares respectively. The strongest outflows of funds were observed in the oil and gas stocks group (-1.83%) and automobile and spare parts group (-1.23%).
- With signs of weakening money flow into the market and increasing pressure to sell stocks, the VN-Index is expected to fluctuate sideways within the narrow range of 1,265 – 1,290 points during the week of April 1 to April 5, 2024. Investors are advised to maintain a balance between stocks and cash, ranging from 50/50 to 70/30, with considerations for new stock purchases, while monitoring market developments around the 1,280-point mark.
- In the scenario where the index continues to record strong cash flows and surpasses the 1,280-point mark with good liquidity, investors are advised to increase their stock allocation to 90/10, with the next resistance level at 1,300 points.
- In the scenario where the market faces selling pressure and breaches the 1,280-point level, it is expected to retreat to the next support zone around 1,243 points.
- Some of the noteworthy stock groups at this time include:
- Government Infrastructure: HHV, CII, KSB
- Securities: HCM, SHS, VIX, SSI, VND
- Real estate: TCH, DIG, CEO
- Retail: DGW, MWG, MSN
- Steel: HSG, HPG
- Bank: ACB, CTG, VIB, TPB, VPB, VCB, STB
- Textile: TNG, GIL
- Industrialized Real Estate: IDC
- Energy: PC1
- Petrolium: BSR
- Others: PNJ, GEX, DBC, HAX
