Taiwan Semiconductor Stock Forecast

Sell candidate since Jul 31, 2026

The Taiwan Semiconductor stock price gained 0.233% on the last trading day (Friday, 31st Jul 2026), rising from $403.31 to $404.25. During the last trading day the stock fluctuated 5.40% from a day low at $398.80 to a day high of $420.35. The price has fallen in 6 of the last 10 days but is still up by 1.48% over the past 2 weeks. Volume fell on the last day by -5 million shares and in total, 12 million shares were bought and sold for approximately $4.81 billion. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.

The stock is moving within a very wide and horizontal trend and further movements within this trend can be expected. Given the current horizontal trend, you can expect Taiwan Semiconductor stock with a 90% probability to be traded between $380.75 and $487.70 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the top. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.

TSM Signals & Forecast

There are mixed signals in the stock today. The Taiwan Semiconductor stock holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the stock giving a more negative forecast for the stock. On further gains, the stock will meet resistance from the long-term Moving Average at $426.64. On a fall, the stock will find some support from the short-term average at $398.95. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). A buy signal was issued from a pivot bottom point on Wednesday, July 29, 2026, and so far it has risen 7.89%. Further rise is indicated until a new top pivot has been found. Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely.

Support, Risk & Stop-loss for Taiwan Semiconductor stock

Taiwan Semiconductor finds support from accumulated volume at $398.37 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved $21.55 between high and low, or 5.40%. For the last week, the stock has had daily average volatility of 4.71%.

Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (TSM) For The Upcoming Trading Day Of Monday 3rd

For the upcoming trading day on Monday, 3rd we expect Taiwan Semiconductor Manufacturing Company Ltd to open at $407.80, and during the day (based on 14 day Average True Range), to move between $394.80 and $413.70, which gives a possible trading interval of +/-$18.90 (+/-4.79%) up or down from last closing price. If Taiwan Semiconductor Manufacturing Company Ltd takes out the full calculated possible swing range there will be an estimated 4.79% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at $409.74 (1.36%) than the support at $398.37 (1.45%), our systems don't find the trading risk/reward intra-day attractive and any bets should be held until the stock is closer to the support level.

Dividend Warning For TSM

Dividend coming up for TSM: Ex-dividend date (Wednesday 16th September, 2026) is 45 days away. The dividend is $1.11.

Is Taiwan Semiconductor Manufacturing Company Ltd stock A Buy?

Taiwan Semiconductor holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold to a Sell candidate.

Current score: -1.945 Sell Candidate Downgraded

Predicted Fair Opening Price

Predicted fair opening price on August 3, 2026 - $407.80 ( 0.88%).

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