Stock Market Review for Week of December 16-20, 2024
During the week of December 16-20, 2024, the VN-Index closed on a less optimistic note, continuing its decline and falling below the Middle Bollinger Band. The trading volume also dropped below the 20-week average, indicating limited participation in the market.
Currently, the MACD indicator is likely to give a sell signal as it narrows the gap with the Signal Line. If this happens in the coming period, the situation for the index will turn more negative.
TECHNICAL ANALYSIS
Trend and Price Oscillation Analysis
VN-Index – Spinning Top Candlestick Pattern
On December 20, 2024, the VN-Index posted a slight gain and formed a Spinning Top candlestick pattern. The trading volume has been erratic in recent sessions, indicating investors’ unstable sentiment. Meanwhile, the Stochastic Oscillator has fallen out of the overbought region after a sell signal, suggesting a higher risk of a downward adjustment.
HNX-Index – Weakening ADX
On December 20, 2024, the HNX-Index declined, moving closer to the Middle Band, while the Bollinger Bands are narrowing (Bollinger Squeeze), and the trading volume exceeded the 20-session average. This suggests that investor sentiment has become less optimistic. Additionally, the ADX continues to weaken and remains below 20, indicating a very weak trend and a likely continuation of the range-bound movement in the coming sessions.
Money Flow Analysis
Smart Money Flow Variation: The Negative Volume Index of the VN-Index has crossed below the 20-day EMA. If this condition persists in the next session, the risk of a sudden downturn (thrust down) will increase.
Foreign Capital Flow Variation: Foreign investors continued to sell net in the session of December 20, 2024. If foreign investors maintain this action in the coming sessions, the situation will become more pessimistic.
Technical Analysis Department, Vietstock Consulting
