Stock rallies are predicted to continue this month, led by positive factors at home and abroad, though volatility may be more frequent than in February, said securities market watchers.

Nguyen Kim Chi, director of KIS Vietnam Securities Company’s Pham Ngoc Thach branch, said the market may make more positive movements in short term, driven by stocks in the fields of industrial zone operation, oil and gas and banking. Besides, some textile and garment enterprises are forecast to do good business.

The VN-Index of the Hochiminh Stock Exchange almost touched the 1,000-point mark last week. This month, the index may reach the range of 1,010 to 1,020 points, while the medium- and long-term outlooks remain unpredictable, Chi said on vietstock.vn.

Nguyen Thanh Lam, head of analysis at Maybank Kim Eng Securities Company, said the market has shown promising signs since the end of the traditional Lunar New Year holiday last month, in tandem with the recovery of stock markets in Asia and the U.S. Meanwhile, the U.S. and China are seen reaching a trade deal.

For the Vietnam market, the outlook remains positive. Though upward market movements may not be as good as in February, investors can expect further stock increases as listed firms will hold their annual general meetings soon.

The market might be more volatile than last month, but the general trend will remain positive, Lam added.

Besides, Chi of KIS Vietnam Securities Company said that foreign investors will play an important role in the market this month as their net buying is expected to continue.

In March, investors are advised to pay attention to stocks in key sectors such as real estate, oil and gas and banking. As listed companies are going to announce their 2019 business plans at their upcoming general meetings, investors should take time to consider before making a decision.

However, a correction may take place in times of market volatility, so caution is needed. Investors should restructure their portfolios during falling sessions to ensure better profits.

Last Friday, the VN-Index dropped for a third day in four sessions, closing down 0.89% at 985.25. Despite the decline, the index rose 0.6% last week after a 0.9% fall in the previous week.

Dairy firm VNM was the top contributor to the day’s loss, followed by fuel group GAS and property enterprise VIC. Most bank stocks retreated, led by BID, TCB and CTG.

SGT