Taiwan Semiconductor Stock Forecast
Taiwan Semiconductor stock downgraded to Buy Candidate
(Updated on May 09, 2024)
The Taiwan Semiconductor stock price fell by -0.564% on the last day (Thursday, 9th May 2024) from $143.60 to $142.79. During the last trading day the stock fluctuated 1.57% from a day low at $141.13 to a day high of $143.35. The price has risen in 6 of the last 10 days and is up by 4.55% over the past 2 weeks. Volume fell on the last day along with the stock, which is actually a good sign as volume should follow the stock. On the last day, the trading volume fell by -3 million shares and in total, 7 million shares were bought and sold for approximately $971.08 million.
The stock lies in the middle of a wide and weak rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 6.59% during the next 3 months and, with a 90% probability hold a price between $138.48 and $166.47 at the end of this 3-month period.
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TSM Signals & Forecast
The Taiwan Semiconductor stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $140.44 and $139.13. A breakdown below any of these levels will issue sell signals. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Wednesday, May 08, 2024, and so far it has fallen -0.564%. Further fall is indicated until a new bottom pivot has been found. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements.
Support, Risk & Stop-loss for Taiwan Semiconductor stock
Taiwan Semiconductor finds support from accumulated volume at $139.02 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 $2.22 between high and low, or 1.57%. For the last week, the stock has had daily average volatility of 1.98%.
Our recommended stop-loss: $137.54 (-3.67%) (This stock has medium daily movements and this gives medium risk. The RSI14 is 77 and this increases the risk substantially. There is a sell signal from a pivot top found 1 day ago.)
Trading Expectations (TSM) For The Upcoming Trading Day Of Friday 10th
For the upcoming trading day on Friday, 10th we expect Taiwan Semiconductor Manufacturing Company Ltd to open at $142.42, and during the day (based on 14 day Average True Range), to move between $138.57 and $147.01, which gives a possible trading interval of +/-$4.22 (+/-2.95%) 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 5.91% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $144.40 (1.13%) than the support at $139.02 (2.64%), 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.
Is Taiwan Semiconductor Manufacturing Company Ltd stock A Buy?
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for Taiwan Semiconductor stock to perform well in the short-term. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Strong Buy to a Buy candidate.
Current score: 4.380 Buy Candidate Downgraded
Predicted Opening Price for Taiwan Semiconductor Manufacturing Company Ltd of Friday, May 10, 2024
| Fair opening price May 10, 2024 | Current price |
|---|---|
| $142.42 ( 0.257%) | $142.79 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for TSM
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 144.64 | 1.30 % | |
| R2 | 143.80 | 0.704 % | ||
| R1 | 143.27 | 0.337 % | ||
| Current price: | 142.79 | |||
| Support | S1 | 141.58 | -0.85 % | |
| S2 | 141.05 | -1.22 % | ||
| S3 | 140.20 | -1.81 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 149.20 | 4.49 % | |
| R2 | 146.37 | 2.51 % | ||
| R1 | 144.40 | 1.13 % | ||
| Current price | 142.79 | |||
| Support | S1 | 139.02 | -2.64% | |
| S2 | 132.27 | -7.37% | ||
| S3 | 127.70 | -10.57% |
TSM Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Feb 08, 2024 | Jun 13, 2024 | Jul 11, 2024 | $0.441 | 0.309% |
| 2 | Nov 15, 2023 | Mar 18, 2024 | Apr 11, 2024 | $0.542 | 0.368% |
| 3 | Aug 08, 2023 | Dec 14, 2023 | Jun 11, 2024 | $0.370 | 0.259% |
| 4 | May 09, 2023 | Sep 14, 2023 | Oct 12, 2023 | $0.489 | 0.529% |
| 5 | Feb 14, 2023 | Jun 15, 2023 | Oct 12, 2023 | $0.448 | 0.485% |
FAQ
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