Taiwan Semiconductor Manufacturing Co Ltd

TSM remains in a confirmed Stage 4 decline with a lower-high/lower-low structure and a Bearish Pivot Point pattern signaling accelerating downside. Price trades below declining 9 EMA, 20 EMA, and 50 DMA with continued distribution and no signs of exhaustion despite extreme oversold. Short-term readiness favors selling now into rallies at dynamic resistance levels. The long-term uptrend above the 200 DMA offers structural support but is insufficient to prompt a countertrend rally at this stage.

• ↑Q1 ’26 sales of $35.9B (+40.6% YoY), full‐year revenue growth >30% expected
• ↑Gross margin 66.2% and ROE 36.8% reflect high operational efficiency
• ↓Negative earnings yield and book‐to‐price score imply ~45% overvaluation risk