Research Center

VCB reported 2Q20 controlling-interest NP at VND4.6tn, up 5.7% yoy and 10.3% qoq although its TOI decreased by 5.9% yoy and 10.6% qoq to VND8tn. As of June 2020, COVID-19 restructured loans reached VND11.7tn (~1.5% of loan book) on total registered loan book of VND50-60tn.

For bargain hunting, long VN30F2008 at 680-685 pts zone, take a profit at 710 pts and stop a loss immediately at 675 pts.

The VNIndex crosses down the lower line of the downward channel with a runaway gap, implying the short-term downtrend. The downside risk increases as a sharp reduction of large-cap stocks. Therefore, traders should reduce long positions and stay on the sidelines.

Last week, foreign selling activities ticked up with net sell value recorded at USD23mn. Breaking down by sector, Energy kept attracting most foreign demand across the market whilst Materials, Real Estate, and Consumer Staples experienced strong outflow. Regarding to ETF flow, Vietnam maintained the positive flow of money and became one of the main driver for the maintenance of money inflow across SEA thanks to VFMVN30 ETF, SSIAM VNFIN Lead, and VanEck Vietnam ETF.

Short positions captured at 780 pts level should not be closed and let profit run to 740 pts and stop a loss immediately at 790 pts.

Market sentiment has become cautious in the short term as the sell-off on stock markets. That pushes the downside risk increase. Therefore, traders should reduce long positions and stay on the sidelines.

The downside risk increase as the market sentiment has become pessimistic in the short term. Therefore, investors should reduce long positions and stay on the sidelines.

Short VN30F2008 at 780 pts level when valid breakdown occurs at 783 pts zone, take a profit at 740 pts and stop a loss immediately at 790 pts to avoid false breakdown. On the upside, entering the long positions at 813 pts zone when breakout at 810 pts is confirmed, take a profit at 825 pts and stop a loss at 805 pts.

Although the recovery, the downside risk increased in the short term as the VNIndex closes below its 50-period moving average. Therefore, traders should be cautious and wait for confirmation signals of the next trend.

In 21 July, ACB hosted a quarterly meeting with investors and analysts. 1H20 PBT was up just 5% yoy to VND3.8tn (VND1.9tn for 2Q20, down slightly by 1.1% yoy). With that, the bank completed ~50% of the 2020 PBT target.