HIGHLIGHTS
International News:
The U.S. stock market was buoyed by positive performance on Monday, October 28, with both the Nasdaq Composite and S&P 500 rising approximately 0.27%. The Dow Jones gained 273 points, or about 0.65%, leading the increase among major indices.
National news:
Foreign Direct Investment (FDI) is shifting away from China, creating an opportunity for Vietnam to become an attractive destination for international investors. A report from the ASEAN+3 Macroeconomic Research Office (AMRO) indicates that ASEAN, particularly Vietnam, is becoming a preferred choice due to its stable investment environment and policies aimed at attracting investments in manufacturing and technology sectors. In 2022, FDI in ASEAN reached $1.5 trillion, with Vietnam being one of the top recipients of investment. This trend is a result of multinational companies seeking to reduce dependence on China and avoid the impacts of U.S.-China trade tensions.
TRADING STRATEGY
The stock market rose at the end of the session, closing at 1,254 points, with liquidity dropping to its lowest level in about a month. Money flow remained diversified, focusing on leading stocks in the financial, basic resources, technology, and chemical sectors. Meanwhile, selling pressure was concentrated mainly in real estate, F&B, retail, and oil and gas stocks. Today, the VN-Index is likely to test the 1,255-1,260 point range for a possible recovery.
The market is currently fluctuating around the 1,250 point support level. While selling pressure has begun to ease, demand remains relatively cautious. Money continues to flow slightly toward mid-cap and small-cap stocks, particularly those supported by Q3 earnings, positive recovery outlooks for Q4/2024, or other favorable internal factors. Investors should prioritize maintaining a controlled holding or selective accumulation strategy in their portfolios, while limiting excessive diversification in investments.
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