HÀ NỘI — Last week’s three brief trading sessions, coming after an extended holiday break, were enough to send investors on a financial rollercoaster.

After a strong August, the Vietnamese stock market opened the week on a high, posting record liquidity as the VN-Index surged beyond its August peak and crossed the psychological barrier of 1,700 points.

But shrinking liquidity soon raised concerns over profit-taking, triggering heavy selling pressure towards the week’s end.

By Friday’s close, the VN-Index on the Hồ Chí Minh Stock Exchange (HoSE) had dropped 29.32 points to 1,666.97, while the HNX-Index on the Hà Nội Stock Exchange (HNX) slipped 3.32 points to 280.67.

For the week, the HoSE fell 0.91 per cent, whereas the HNX inched up 0.25 per cent. Market liquidity slumped in the first two sessions of September before staging a rebound in the final session.

The pattern underscored limited profit potential as demand for many stocks failed to recover after recent gains, intensifying selling pressure.

Foreign investors maintained their sell-off, with a net outflow of more than VNĐ5 trillion (US$191.3 million) from the HoSE during the week.

According to Bảo Việt Securities Company (BVSC), the downward pressure may continue early this week, with the VN-Index likely to test the support zone of 1,630-1,650 points.

"We expect a potential recovery after the index approaches this support level," BVSC said, adding that investors are advised to maintain their positions and manage risks by adjusting trailing stop levels for short-term holdings.

For trading activities, it is recommended to focus on existing positions during market fluctuations.

Saigon - Hà Nội Securities JSC (SHS) noted the recent market dynamics.

"With the recent price increases occurring alongside low liquidity, we observe a strong rise in selling volumes. The VN-Index appears to be forming a short-term peak around the 1,690-1,710 point range, indicating a shift from a robust uptrend to a phase of consolidation and adjustment," said SHS.

The previous month’s remarkable gains, with an average trading volume of 1.67 billion shares per session, have led to signals of a potential peak.

Historical trends suggest that following such robust growth, the market typically experiences a correction phase to validate previous highs, the securities firm added.

Similarly, Vietcap Securities JSC (VCSC) expressed concerns regarding the last session’s decline, saying that this creates momentum for adjustment in the VN-Index.

"Any technical rebound in subsequent sessions may face resistance around the 1,675-1,680 point range, necessitating a re-evaluation of the 1,645 point support level to facilitate low-price buying opportunities," VCSC said. — BIZHUB/VNS