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Taiwan Semiconductor bounces 1.3%, but sellers stay in control

Taiwan Semiconductor technical analysis: last week's Sell signal is now in its confirmation week, with a 1.3% bounce not backed by volume and sellers still dominant on the latest price action.

Taiwan Semiconductor bounces 1.3%, but sellers stay in control
Taiwan Semiconductor, a fragile bounce in confirmation week
Taiwan Semiconductor bounces 1.3%, but sellers stay in control
July 24, 2026
Taiwan Semiconductor, a fragile bounce in confirmation week
Our view last week
Taiwan Semiconductor's earnings landed last week, flipping the picture: after 12 weeks of a buy trade under management, this week a fresh Sell signal opens on Taiwan Semiconductor stock, with an 8.2% weekly drop. Price is boxed into a tight band between the 397.5 and 400.1 areas, and signal strength at its cap, 100 out of 100, describes a decline just getting started and already making lower lows. This week's technical analysis flags trading as not recommended.
This week's summary
After last week's 8.2% drop, this week Taiwan Semiconductor stock only bounces 1.3%, and the rally doesn't convince: on the last bar sellers are firmly in control, buyers are retreating, and distribution is deepening. The stock did carve out a double bottom in the 393 area, with a 10% intermediate rebound, but it's still boxed into a tight range. The fresh Sell signal opened last week is still in its confirmation week, and Taiwan Semiconductor's technical analysis stays cautious.
Sell signal in observation ·2nd week from start ·US stocks ·T2 ★ See Gold version →
IQS Phase
62
ordinary
Signal Strength
44
isolated weekly drop
Sizing
REDUCED
Ranking
#55 / 141
US stocks sell signals
Trade P&L %
-1.27%
from signal to today
Chart · Weekly — EMA50 · MACD · VWAP
Weekly chart · EMA50 · MACD · VWAP · Source: TradingView
How to read this pageA visual guide to the post, card by card
Rank position

ranks 55th among the 141 sell signals for US stocks in our ranking, with a signal strength of 44 out of 100.

Sector context
SectorGrowth Tech
Benchmark ETFXLK
Sector regimeweak phase
Performanceweekly +0.17% · monthly -3.92%

TSM belongs to the growth tech sector (reference ETF XLK). The sector is classified weak phase according to our weekly reading.

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