Last week, the VN-Index briefly surpassed the 1,790-1,800 point milestone. However, after reaching this peak, the index quickly reversed, transitioning into a sideways trend and undergoing adjustments in the remaining sessions.
The market’s upward momentum in the previous phase was primarily driven by large-cap stocks, notably Vingroup and banking sector stocks. Yet, as these stocks cooled off following their significant rally, selling pressure spread across the market. Key stocks such as VIC, VHM, VCB, CTG, and VPB collectively declined, becoming the primary drag on the VN-Index’s performance.
VN-Index declines as leading stocks lose momentum.
Market liquidity exhibited clear rotation, shifting away from leading stocks as investors turned to speculative and short-term potential stocks in the real estate sector. This kept many property stocks active, though high market fragmentation limited sustainable recovery momentum.
Foreign investors maintained a net selling position, reflecting caution as the index approached historical highs.
Analysts from Saigon-Hanoi Securities (SHS) noted that the VN-Index’s short-term trend faces strong selling pressure around the 1,800-point mark—a critical technical threshold aligning with the trendline connecting major peaks from 2018, 2021, and 2022.
Experts suggest the index has formed a short-term peak between 1,780 and 1,800 points and may continue adjusting to test the 1,700-point support level, corresponding to the highest price range from August to September 2025. This aligns with technical patterns, as the market requires time to consolidate and absorb profit-taking supply after a sharp rally.
In its October strategy report, SHS cautioned that the 1,780-1,800 range is not ideal for increasing positions or chasing purchases. The firm advises investors to carefully evaluate buying positions, closely examine valuation and Q3 earnings, and manage short-term risks amid a market lacking fresh catalysts.
Even the 1,700-point level is not currently considered attractive for aggressive buying, especially for stocks that have overheated recently. Investors are recommended to maintain a balanced equity allocation, favoring fundamentally strong, leading stocks in strategic sectors poised to benefit from long-term economic growth.
Experts from Vietcombank Securities (VCBS) observed that liquidity is gravitating toward stocks forming stable bases and trading sideways during the recent two-week market rally.
VCBS suggests investors rebalance portfolios by taking profits on stocks that have met short-term targets and show reversal signs. Simultaneously, explore opportunities in stocks attracting liquidity after prolonged accumulation and consider probing investments upon market recovery signals.
The market has entered the Q3 earnings season. SSI Research estimates that 34 out of 42 surveyed listed companies are expected to report year-on-year profit growth. Notable performers include NT2, POW, FPT, CTR, SZC, PTB, DHC, ACB, BID, CTG, HDB, MBB, TCB, TPB, OCB, VHM, VPB, HPG, MSN, MWG, and PNJ.
Notably, banks such as VPB, ACB, BID, CTG, HDB, MSB, TCB, and TPB are projected to deliver double-digit profit growth in Q3, supported by stable and improving net interest margins (NIM).
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