MARKET INSIGHTS_07112022

MARKET PULSE

VN-Index closed the trading session forming a “Black Candle” pattern. Trading volume decreased and was above the 20-day average. Market breadth sharply declined as most stocks closed at their floor prices. Nearly 300 stocks hit their floor prices.

Key points to note: (i) RSI(14) is establishing a bullish divergence pattern, signaling a potential reversal. (ii) MACD confirms a buy signal. (iii) The market is losing its market characteristics as most stocks hit their floor prices with no buyers. This event is reminiscent of 2008. Bright spots are few and far between, with only a handful of stocks like MSN, SAB, VHC, VNM… That is too little. (iv) Negative news appears daily, and each time negative news emerges, the market is submerged.

According to the “Price Action” analysis method for VN30, we have 02 stocks giving buy signals, 07 stocks giving sell signals, and 21 stocks giving sideways signals. VNM, VPB… show positive signals, while most other banking stocks show negative signals.

According to quantitative statistics, with today’s pattern, in the next trading session, the VN-Index has a 50% probability of increasing and a 48.64% probability of the closing price being higher than the opening price. Statistics show no clear trend for the index in tomorrow’s trading session, but momentum suggests the market may continue to fall by 20-40 points tomorrow morning, with a potential for a rebound in the afternoon when the market reaches the price range around 930 points. Resistance is 1,040 points. Support 1 is 970 points. Support 930 points.

Stock Support and Resistance for the Day (EOD)

Stocks with Unusual Trading Volume for the Day

Watchlist Stocks for Tomorrow

Intraday Chart:

• China is gradually becoming the dominant global microchip exporter;

US Stock Market: On Friday, the index did not correct downwards, and at least it has not repeated the image of September 22, 2022. That is a good sign right now. The index is forecast to continue gaining points in today’s trading session.

Investors can download the full report via the following link:

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