TAIWAN SEMICONDUCTOR MANUFACTURING CO. - TSM price action just days before the earnings - 04/03/2023 (GMT)

Shares in Taiwan Semiconductor Manufacturing Company Ltd (symbol ‘TSM’) have been making relatively stable gains in the first quarter of 2023. The company is expected to report its earnings for the fiscal quarter ending on Thursday 13th of April. The consensus EPS is $1,21 compared to the result for the same quarter last year of $1,40.  ‘For the past 3 years the company is growing its financial statements showing more net profit and increase in their total assets. With a relatively low debt to equity ratio (company uses less debt to finance its operations) and also a high current ratio of more than 200% (ability of the company to repay its short term liabilities with assets that currently has) TSM looks like a financially healthy company and is an attractive addition to investors portfolio.’ said Antreas Themistokleous, an analyst at Exness ‘ The technical indicators also show that the share of the company is still in a bullish movement further supporting the argument of an attractive investment’ On the technical side the price is in an effort to regain some ground and reach February’s high near the $100 level. At the time of this report the Bollinger bands are slightly expanding indicating volume building up while the $90 price area consists of a very strong support area on the chart because of the cross between the 23.6% of the daily Fibonacci retracement level, the 20 and 50 day moving averages. The Stochastic oscillator is not indicating any overbought levels just yet so the chances of a further move up are still high. 

In the case of a move up the first major resistance level could be laying around the $98 area which is the last area of price reaction in mid February.