TSMC has been trading in a +/- 20% range since Jan 2018 and this is the 3rd time the stock has hit the top of the range. Be it more tariffs, smartphone saturation or the fact that Chinese crypto mines are being shut down, the demand picture for chips are just not that great.
After the government made many statements about "most consecutive trading days for the index to stay above 10,000",
Taiwan stock market had a biggest slump of all time to go down more than 6.3% (7.3% for the futures) today.
To take this 0050 ETF as an example (composed of top 50 Taiwan stocks),
it had so many potential trades to take on the train of slump!
The sector of passive components in Taiwanese Stock Market went so crazy since last year.
This Yageo is the leading one to make a perfect turnaround from a 2 digits stock to the 2nd highest price stock in Taiwan (called Queen of the stock market) .
The story started from the passive components went short in supply and the price kept going higher and higher,