Experts advise caution during this market correction phase however, they also note that the VN-Index''s support level of 1,250 points could attract bottom-fishing, providing a foundation for a medium-term recovery.
In a positive scenario, experts believe that the VN-Index will experience fluctuations while continuing to test the 1,300-point range next week, supported by the movement of large-cap stocks.
Cautious cash flow and investor hesitation continued as the market lacked driving momentum. The VN-Index ended the week at 1,280 points, with foreign investors returning to net selling over VNĐ760 billion.
The market''s strong psychological resistance around the 1300-point level is evident. This resistance zone has proven challenging in the past and it remains a formidable barrier.
On the Hồ Chí Minh Stock Exchange (HoSE), the benchmark VN-Index increased 14.05 points, or 1.11 per cent, to 1,281.73 points, in a second day of rises.
Despite rising selling pressure, strong buying momentum indicates a potential continuation of the consolidation and sideways trading trend in the coming sessions.
Last week''s recovery is viewed as a technical rebound following a recent sharp and significant decline. As a result, a potential correction scenario for the VN-Index cannot be ruled out.
Vietnamese shares reversed course to end lower on Thursday as large-cap stocks in a series of industries suffered selling pressure, especially banking, securities and energy.
Wednesday witnessed a turbulent trading session as banks and oil stocks grappled with mounting pressures, resulting in a notable downturn in their performance.