Strategy: The SET turned to increase. However, FSS believes the market will remain volatile and there is risk that it will decrease before it moves sideways to build up base and turn to climb going forward. For this reason, we maintain our call for investors to buy on weakness and then hold, waiting for a new round of rallies.
Technical stocks: MINT, THCOM, IVL(short)
Market direction: The SET rebounded to end higher last Friday before a public holiday yesterday (i.e. May 2). In the U.S., Wall Street ended slightly down last Friday, pressured by weak economic data and mediocre corporate earnings. Given that, Asian stock markets that were open yesterday also moved negatively, while some were also closed as in Thailand. Global crude stated to weaken, falling by over 2% due to a report that the OPEC's oil output increased in April, dampening investor concern over supply glut. However, most U.S. and European stock markets turned to end higher after U.S. construction spending in March surged to hit its eight-year high. Moreover, they were supported by a rise in financials shares and Amazon's solid earnings, while the eurozone PMI in April expanded strongly. As a result, Asian equity markets that ended lower yesterday begin to recover this morning. However, Asian stock markets that only resumed trading today opened lower. For this reason, FSS expects the SET to continue to see limited upside. In addition, there is risk that it will decrease, particularly when markets are open to trade just two days this week before it is closed for another long holiday at the end of this week. For this reason, we recommend that investors gradually buy on weakness.
Support 1398-1394, 1390-1384
Resistance 1406-1408 , 1410-1412
Source: fnsyrus.com / settrade.com
