Vnindex exceeds 507 midweek milestone

VN-Index exceeds 507 mid-week milestone

10:25:58 | 26/07/2010

VN-Index by observing graphs weeks , weeks before the index fluctuated around the level of about 8 points ( from 499.73 to 507.27 ) with matching volume all week about 209.264 million shares ( increases of about 7 million shares compared to previous week ) , matching the average of about 41.852 million shares / sessions - relatively good level of liquidity to the market in the trend passes .
OBV (On Balance Volume ) - just volume and balance of power increase or decrease of the VN-Index :

OBV is the cumulative volume of successful transactions through the sessions : plus trading volume if prices and trading volume minus if a discount.

Observation Point No. (1) between price and the OBV line : After some time off from on 21/06/2010 ( 515.76 points) to match the volume of 46.371 million shares down to levels of 496.91 points ( on 7 / 7 / 2010 ) with volume of 39.397 million shares joints . From 7 / 7 - 15 / 7 , OBV indicator in positive divergence in time after a negative divergence , which warns of short-term price VN-Index will move so the increase this time trend is increase . On 20 / 7 OBV broke the trend and positive OBV divergence reduction scores (2) having a value equal score (1) . It warned the market may decline if not the day after breaking the blind 507 and the market reacted properly .



Observed scores (2) between OBV and price line : OBV is forming a positive divergence (ie OBV will increase further in the next session ), while prices have decreased from 19 / 7 ( VN-Index are 506 levels ) this warning about the possibility of price changes tend to rally this week .

From 20 - 22 / 7 , the VN- Index fell from 507 to 500 with relatively large volume joints (42 - 45 million shares / sessions ) , while the OBV signs of positive divergence on 23 / 7 OBV up again when this signal to the market in coming few sessions to increase the points .

Observation 2 circle (1) and (2) have many similarities , so can predict 1-2 week session , the VN- Index Transaction volumes will lower joints ( approximately around the 30 million per session or less ) , the slight fluctuations but then the index would rise to between 507 weeks .

Trading volume is lower for positive signs : low- volume seller that was almost not want to sell more shares , the seller seems weak , the purchaser shall not purchase , so just take 1-2 sessions buyer purchase more powerful , the market will start strong with increase of > 5 points .

Investment Strategy: RMB should be prepared to buy into cash when the market fell slightly in the harbor . The technical signals have been signs of buying into stocks as for ICG , ANV , PTC , PET , ...

Source: vinacorp.vn