Comments on: SMH (semiconductor) + TSM Trade Update https://rightsideofthechart.com/smh-semiconductor-tsm-trade-update/ Stock Trading, Investing & Market Analysis Thu, 16 Mar 2017 19:47:24 +0000 hourly 1 https://wordpress.org/?v=6.9.4 By: rsotc https://rightsideofthechart.com/smh-semiconductor-tsm-trade-update/#comment-3105 Wed, 11 Jan 2017 14:35:32 +0000 http://rightsideofthechart.com/?p=174371#comment-3105 Good point. Many swing traders opt to close positions before a quarterly earnings report a positive or negative surprises or forwards guidance can quickly (or immeidately, in the case of an opening gap) move the stock sharply in either direction. TSM’s Fourth Quarter Earnings Conference and Conference Call will be held in Taipei on Thursday, January 12, 2017 2pm Taiwan time which is 1am ET in the US so the stock is likely to gap one way or the other when it opens for trading here.

My preference on whether to hold or fold a position heading into earnings depends on several variables, including the history of post-earnings gaps (are the frequent & large or rare & minor?); how close (or far) I am to my price target or stop; how the earnings & market reaction to other companies within the same industry have reacted following their recent earnings announcement; etc…

I’m on the fence with my TSM position right now as the trade is still profitable (albeit by a small margin), still looks promising for a move down to T2 in the coming weeks/months yet while the momentum in the sector certainly has been slowing recently, the semis as a whole (SMH, SOXX, XSD) are still within their respective rising wedges although they look ready to breakdown any day now.

]]> By: LUV737 https://rightsideofthechart.com/smh-semiconductor-tsm-trade-update/#comment-3104 Wed, 11 Jan 2017 13:23:22 +0000 http://rightsideofthechart.com/?p=174371#comment-3104 TSM has earnings tomorrow! I’m not a fan of getting in a trade when earnings are close! I understand its a double edge sword but it could go either way!

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