Taiwan Semiconductor gives in to negative pressure - Analysis - 02-08-2022

Taiwan Semiconductor's stock (TSM) fell 2.45% in the last session, or 2.17 points, settling at 86.31, with trading volumes surpassing 20 million shares, above 10-day averages of 10 million shares, with the stock suffering from an official US visit by Nancy Pelosi to Taiwan, which triggered heavy Chinese criticism.

The stock is facing the resistance of the 50-day SMA, amid the dominance of the main downward trend in the short term, with negative signals from the RSI.

Therefore we expect more losses for the stock, targeting the first support at 78.90, provided the resistance of 85.40 holds on.

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Expected trend for today: Bearish