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Pocket Option: Stock Trading Tips for Vietnamese Investors

Pocket Option: Stock Trading Tips for Vietnamese Investors

8 min to read

09 April 2025

8 min to read

Pocket Option: Effective Stock Trading Tips for Vietnamese Investors in 2025

Want to join the 4 million+ investors trading in the Vietnam stock market? This market with an average growth of 20% per year is waiting for you! This stock trading guide will provide you with practical knowledge, tools and investment strategies to start your profitable investment journey in Vietnam today.

Unique characteristics of Vietnam’s stock market in 2025

The Vietnamese stock market has specific characteristics that every investor needs to understand. With a capitalization of over $210 billion in 2024 and the goal of upgrading from frontier market to emerging market status, this is an ideal time to start your investment journey.

Understanding the market is the first step in stock trading guidance, especially important with Vietnam’s specifics. The Vietnamese stock market operates with two main exchanges and one auxiliary exchange, each with its own regulations and characteristics.

Exchange	Characteristics	Investment opportunities
HOSE (Ho Chi Minh City)	Largest capitalization, has VN30-Index	VNM, VIC, VHM, FPT – stable blue chips
HNX (Hanoi)	Medium and small companies, higher volatility	SHS, PVS – good growth potential
UPCOM	Newly privatized companies, low liquidity	ACV, HVN – early investment opportunities

Important indices in the Vietnamese market

When learning how to trade stocks in Vietnam, you must closely monitor the main indices. The VN-Index is the thermometer of the entire market, having increased by more than 500% since 2012, showing long-term growth potential. VN30 focuses on the 30 largest capitalization stocks – a safe place for beginners to invest.

According to data from Pocket Option, the fluctuations of the VN-Index over the past year have created many attractive investment opportunities, with a peak of 1,550 points and a bottom of 1,000 points, creating an ideal trading range for both long-term investors and short-term traders.

Start investing in stocks in Vietnam in 5 simple steps

Are you ready to enter the market? Here is a 5-step roadmap to start your stock investment journey in Vietnam:

Step 1: Open a professional securities account

The starting point for stock trading is choosing a reputable trading platform. In Vietnam, there are over 70 securities companies with their own strengths. Pocket Option stands out with trading fees from just 0.15%, 24/7 support in Vietnamese, and a simple online trading platform that is especially friendly for beginners.

The account opening process at Pocket Option takes only 15 minutes with online eKYC, no need to visit an office. After completion, you can deposit funds via online banking, e-wallets, or bank transfers and start trading on the same day.

Requirements	Details	Advantages at Pocket Option
Identification	Chip-embedded ID card or passport	Quick eKYC verification in 5 minutes
Contact information	Active email and phone number	Transaction notifications via SMS and app
Bank account	Account in the holder’s name	Links with 40 banks in Vietnam
Initial capital	Minimum 5 million VND	100% bonus on first deposit

Fundamental analysis: The key to finding value stocks in Vietnam

Fundamental analysis is an essential method in stock trading guidance for serious investors. This method helps you determine the intrinsic value of stocks based on the financial health and business prospects of companies.

Especially in the Vietnamese market, companies often have lower valuations than developed markets, with an average P/E of about 15-17 compared to 20-25 in developed markets. This creates opportunities to find undervalued stocks.

Analyze the most recent quarterly financial reports and compare with the same period last year
Evaluate P/E, P/B, ROE, ROA ratios by industry and compared to competitors
Study the company’s 3-5 year business plan
Monitor leadership quality and changes in shareholder structure
Analyze the impact of macroeconomic policies on the industry and business

Industry	Average P/E	Representative stocks	Points to note
Banking	9-12	VCB, TCB, MBB	Non-performing loan ratio, NIM, credit growth
Real estate	14-18	VIC, NLG, DXG	Land bank, sales rate, debt
Retail	15-20	MWG, PNJ, FRT	Same-store sales growth, profit margin
Technology	18-25	FPT, CMG, VNG	Revenue growth, R&D investment

Pocket Option provides a “Fundamental Analysis” tool with a quarterly updated database of over 1,600 listed companies in Vietnam, helping you easily compare and filter stocks according to financial criteria.

Technical analysis: Choose precise timing for buying and selling stocks

After finding potential stocks through fundamental analysis, you need to determine the appropriate timing for buying and selling. This is where technical analysis comes into play – an essential method for effective stock trading.

Technical analysis is particularly effective in the Vietnamese market, where crowd psychology often strongly impacts stock prices. Statistics from Pocket Option show that over 65% of classic technical patterns such as head-and-shoulders, triangles, flags… work effectively in the Vietnamese market, 10-15% higher than in developed markets.

Learn to recognize common price patterns in the Vietnamese market
Use MA20, MA50, MA100 lines to identify short and medium-term trends
Apply RSI and Stochastic indicators to find effective entry/exit points
Analyze trading volume to confirm price signals
Combine multiple timeframe charts to increase accuracy

Indicator	Recommended settings	Buy signal	Sell signal
MACD	(12,26,9)	MACD crosses above signal line when below 0	MACD crosses below signal line when above 0
RSI	(14)	RSI rises from below 30 to above 30	RSI falls from above 70 to below 70
Bollinger Bands	(20,2)	Price touches lower band and bounces up	Price touches upper band and reverses
Ichimoku	(9,26,52)	Price moves above the cloud, Tenkan crosses above Kijun	Price falls below the cloud, Tenkan crosses below Kijun

Proven investment strategies in the Vietnamese market

After mastering the basic knowledge and analysis methods, the next step in stock trading guidance is choosing a suitable investment strategy. Below are strategies that have proven effective in the Vietnamese market:

Strategy 1: Value investing – Hunting for “pearls in the mud”

This strategy is particularly effective in Vietnam, where many good businesses are often undervalued due to lack of attention from foreign investors or lack of information transparency. This strategy focuses on finding companies with sustainable competitive advantages, strong finances but being valued lower than their intrinsic value.

Stocks like MBB, DGC, PNJ have proven the effectiveness of this strategy by delivering returns of over 150% during the 2020-2023 period despite initially being valued low compared to their true potential.

Screening criteria	Ideal threshold	Examples in Vietnam
Low P/E	<10, 30% lower than the industry	HPG, HSG (steel industry)
Low P/B + High ROE	P/B <1.5 and ROE >15%	STB, TCB (banking)
High dividend	Dividend yield >5%	REE, PC1 (electricity, water)
Hidden assets	Real estate, unlisted subsidiaries	DXG, NLG (real estate)

Strategy 2: Growth investing – Catching major trends

Vietnam is in a rapid development phase with many booming industries. The growth investment strategy focuses on companies with high revenue and profit growth rates, typically above 20% per year, in rapidly developing industries.

Prioritize leading companies in fast-growing industries such as technology, retail, logistics
Look for companies with clear competitive advantages and ability to expand market share
Assess leadership quality and long-term strategic vision
Accept high valuation (P/E 20-30) if profit growth maintains above 25%/year

Pocket Option provides a “Growth Stocks” filter that helps you easily find companies with high revenue and profit growth rates, along with comparison tools to assess future growth potential.

Risk management: Protecting capital in a volatile market

The Vietnamese stock market is known for its high volatility, especially when impacted by macroeconomic factors or foreign capital flows. Therefore, risk management is the determining factor for long-term success in stock trading.

Below is a risk management strategy customized for the Vietnamese market:

Apply the 5-10-40 diversification principle: No more than 5 stocks in the same industry, 10 stocks in the portfolio, maximum 40% in one industry
Set stop-loss levels of 7-10% for short-term trades, 15-20% for medium and long-term investments
Allocate capital according to the 1% rule: Don’t let a single trade cause more than 1% loss to the total portfolio
Maintain 20-30% cash to take advantage of opportunities when the market corrects strongly
Use conditional orders (OCO) to automatically implement entry and exit strategies

Risk level	Recommended asset allocation	Suitable investor type
Low	60% blue-chip stocks, 30% dividend stocks, 10% cash	Middle-aged and elderly investors, prioritizing capital preservation
Medium	50% growth stocks, 30% value stocks, 20% cash	Investors aged 30-45, balancing growth and safety
High	70% strong growth stocks, 20% value stocks, 10% cash	Young investors, accepting volatility for high returns
Very high	60% small-cap stocks, 30% growth stocks, 10% cash	Professional investors with experience and time to monitor the market

The Pocket Option platform integrates automatic risk management tools such as price volatility alerts, real-time portfolio performance tracking, and detailed risk analysis reports, helping you always control your investment situation.

Investment psychology: Overcoming common psychological traps

Investment psychology is a decisive factor for success that many investors overlook. In the Vietnamese market, where information is sometimes not transparent and crowd psychology has a strong influence, mastering psychology becomes especially important.

Research from Pocket Option shows that 70% of investors who lose money in the Vietnamese market do so not because of wrong analysis but because of poor decisions under psychological pressure.

Common psychological traps in Vietnam	Manifestation	Solution
Stock “fever” based on rumors	Buying stocks when there are rumors of acquisition, M&A, new projects	Only trust official information, verify from multiple sources
Following foreign “room”	Buying stocks just because foreigners are buying heavily	Understand why foreigners are buying, conduct your own analysis
Taking profits early, holding losses too long	Selling stocks as soon as there’s a small profit, holding losing stocks too long	Set profit-taking/stop-loss rules in advance, adhere strictly
Overconfidence after success	Overinvesting, skipping analysis after a few successful trades	Maintain disciplined analysis, don’t increase risk level

To overcome psychological traps, Pocket Option has developed a “Smart Trading Journal” tool that helps you record not only investment decisions but also your psychological state at the time of decision-making, thereby learning from experience and improving skills.

Technology application: Leveraging modern tools for smart investing

Technology is changing the way stock investing is done globally, and Vietnam is quickly catching up with this trend. Smart investors need to leverage technological tools to enhance investment efficiency.

Pocket Option leads in applying technology to stock investment in Vietnam, providing many unique tools:

Multi-device trading platform with order execution time <0.5 seconds
Automated technical analysis system with 150+ indicators and technical patterns
Stock screening tool with over 50 financial and technical criteria
Real-time alerts for price volatility and abnormal volume
AI support suggesting potential stocks based on big data and machine learning

The application of technology helps Vietnamese investors access information quickly, analyze more deeply, and make timely decisions. This is a decisive factor in effective stock trading in the digital age.

Conclusion

Investing in stocks in Vietnam offers attractive profit opportunities but also challenges. This article has provided a comprehensive stock trading guide, from foundational knowledge about the Vietnamese market to specific investment strategies, risk management, and investment psychology.

To succeed in the Vietnamese stock market, you need patience, discipline, and continuous learning. The market will always have opportunities, but only well-prepared investors can take advantage of them.

Pocket Option is committed to accompanying Vietnamese investors on their journey to conquer the stock market. With modern technology platforms, competitive trading fees, and a professional advisory team, we are ready to help you build a sustainably profitable investment portfolio. Start your smart investment journey today with Pocket Option!

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FAQ

How much capital is needed to start investing in stocks in Vietnam?

To effectively start investing in stocks in Vietnam, you should have a minimum of 10-20 million VND. However, Pocket Option allows you to start with just 5 million VND and also offers a 100% bonus on your first deposit. With 50-100 million VND, you can already build a diverse investment portfolio with 5-7 stocks from different sectors, helping to effectively spread risk.

Which sectors have the best growth potential in Vietnam?

In 2025, the sectors with the strongest growth potential in Vietnam include: technology retail (MWG, FRT), banking (TCB, MBB, ACB), industrial real estate (KBC, SZC, NTC), renewable energy (PC1, REE, BCG) and logistics (GMD, VSC, STG). In particular, the retail sector is benefiting from the rapidly growing middle class, while industrial real estate benefits from the wave of manufacturing shifting to Vietnam.

How to recognize early signs of market trends in Vietnam?

To recognize early signs of Vietnam market trends, monitor three key factors: (1) Foreign investor activity - continuous net buying/selling for 10-15 sessions usually signals a new trend; (2) VN30 group movements - which precede the general market by 2-3 weeks; (3) Market liquidity changes - sudden 50% increase/decrease compared to the average of the last 20 sessions. Pocket Option provides a "Market Trend Indicator" tool that automatically analyzes 15 factors to forecast trends with accuracy up to 75%.

Should dividends or price appreciation be prioritized when investing in Vietnam?

Whether to prioritize dividends or price appreciation depends on your investment goals. For the Vietnamese market, balancing both factors usually yields the best results. Stocks in electricity, water, telecommunications sectors like POW, PC1, REE, TLH have stable dividend yields of 6-8%/year, suitable for passive income. Meanwhile, banking, technology, retail sectors like TCB, FPT, MWG have higher price appreciation rates. The optimal strategy is to allocate 40% of your portfolio to high-dividend stocks and 60% to growth stocks, adjusting the ratio according to your age and personal financial goals.

How to evaluate the performance of your stock investment portfolio?

To evaluate your stock investment performance, you should use the following metrics: (1) Risk-adjusted return (Sharpe Ratio) - ideally above 1.0; (2) Alpha - showing excess returns compared to the market; (3) Win/Loss ratio and Reward/Risk (R/R) ratio - should maintain a minimum R/R of 2:1; (4) Maximum drawdown - should not exceed 20% of investment capital. Pocket Option provides automatic performance reports by month/quarter/year, comparing with the VN-Index and sample portfolios, helping you objectively evaluate your investment results and adjust strategies in a timely manner.