---
title: "📈 AI Stock Chat, 2026-07-16 | Market fluctuates at highs; watch out for long-short shakeouts and foreign capital selling pressure on Friday, 2026-07-17"
description: "Hello everyone, I'm Peiyu. Today, after the market close on Thursday, 2026-07-16, I'm going to lead you all in predicting the trends for the Taiwan stock market index and key individual stocks for the next trading day, Friday, 2026-07-17. Currently, the market index has already stood at a high level of over 45,000 points. Facing the massive short positions in futures held by foreign institutional investors and the tug-of-war in US stocks, we must be especially wary on Friday of a reverse sell-off after the foreign investors' settlement, as well as intense long-short washouts and volatility. Everyone must remain calm in their operations—absolutely do not blindly chase highs or panic sell!"
canonical_url: "https://blog.markkulab.net/en/ai-stock-chat/ai-stock-chat-2026-07-16"
author: "Mark Ku"
author_url: "https://blog.markkulab.net/en/author/mark-ku"
site: "Mark Ku's Tech Notes"
date_published: "2026-07-16 10:00:00 +0800"
category: "AI Stock Market Chit-Chat"
tags: ["ai-stock", "podcast", "台股預測", "台股", "AI預測", "2330", "2317", "2454", "0050", "半導體"]
language: "en"
license: "CC BY 4.0"
license_url: "https://creativecommons.org/licenses/by/4.0/"
attribution: "when reusing or quoting, credit the author and link back to the original"
---

# 📈 AI Stock Chat, 2026-07-16 | Market fluctuates at highs; watch out for long-short shakeouts and foreign capital selling pressure on Friday, 2026-07-17

## Opening Remarks
Hello everyone, I'm Pei-Yu. Today, after the market close on Thursday, 2026-07-16, I'm here to take you through the predictions for the next trading day, Friday, 2026-07-17, for the Taiwan stock market index and key individual stocks. With the TAIEX currently standing at a high of over 45,000 points, and facing a tug-of-war between massive foreign institutional short positions in futures and the US stock market, we need to be especially wary of reverse sell-offs and violent long-short washouts after foreign capital settlements this Friday. Everyone must stay calm and avoid blindly chasing highs or selling lows!

## Today's Market Index Prediction

<figure class="stock-chart" style="margin:1.25rem 0"><svg role="img" aria-label="TAIEX AI Prediction Range (Next Day / Short-term)" viewBox="0 0 612 130" width="100%" style="height:auto;max-width:612px;min-width:480px;font-family:ui-sans-serif,system-ui,sans-serif;font-size:12px"><line x1="335.3" y1="20" x2="335.3" y2="122" stroke="currentColor" stroke-width="1" stroke-dasharray="3 3" opacity=".45"/><text x="335.31034482758605" y="14" fill="currentColor" text-anchor="middle" opacity=".7">Current Price 45631.59</text><text x="48" y="57" fill="currentColor" text-anchor="end" font-weight="600">Next Day</text><line x1="56" y1="53" x2="356" y2="53" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="182.0" y="44" width="68.2" height="18" rx="4" fill="#ef4444" fill-opacity=".22" stroke="#ef4444" stroke-width="1.5"/><text x="366" y="57" fill="currentColor">Bearish · 43618.21~44514 · Confidence 67%</text><text x="48" y="103" fill="currentColor" text-anchor="end" font-weight="600">Short-term</text><line x1="56" y1="99" x2="356" y2="99" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="76.7" y="90" width="152.5" height="18" rx="4" fill="#ef4444" fill-opacity=".22" stroke="#ef4444" stroke-width="1.5"/><text x="366" y="103" fill="currentColor">Bearish · 42234.14~44237.19 · Confidence 67%</text></svg><figcaption style="font-size:12px;opacity:.6;margin-top:.25rem">TAIEX AI Prediction Range (Next Day / Short-term)</figcaption></figure>

Our predictions for the Taiwan Stock Exchange Capitalization Weighted Stock Index (TAIEX) for Friday, 2026-07-17, and the upcoming week are as follows:

| Horizon | Current Price | Predicted Direction | Target Range | Confidence |
| --- | --- | --- | --- | --- |
| Next Day (07-17) | 45631.59 | Bearish | 43618.21~44514.00 | 67.0% |
| Short-term (One Week) | 45631.59 | Bearish | 42234.14~44237.19 | 67.0% |

The overall market currently presents a "neutral-to-bearish but brewing a rebound" pattern. This is mainly because foreign capital holds historically massive short positions in futures, exerting extreme downward pressure on the spot market. Although overnight US semiconductor stocks and the TAIEX futures night session showed support, the market opening on Friday, 2026-07-17, may still face selling pressure and washouts following foreign capital settlements. Investors are advised to wait patiently for the market to find its footing.

## Global Market Status
Below is the latest global market status. This section provides objective data only, without AI trend predictions:

| Index | Close | Change % |
| --- | --- | --- |
| TAIEX Futures Night Session (TXF) | 45817.00 | -0.54% |
| Dow Jones Industrial Average (DJI) | 52658.64 | 0.29% |
| S&P 500 Index (GSPC) | 7572.40 | 0.38% |
| Nasdaq Composite (IXIC) | 26269.23 | 0.62% |
| Philadelphia Semiconductor Index (SOX) | 12398.89 | -2.08% |

## Key Stock AI Predictions

<figure class="stock-chart" style="margin:1.25rem 0"><svg role="img" aria-label="Key Stock Target Ranges (Vertical Line = Current Price, Colored Band = Target Range)" viewBox="0 0 568 302" width="100%" style="height:auto;max-width:568px;min-width:480px;font-family:ui-sans-serif,system-ui,sans-serif;font-size:12px"><text x="140" y="38" fill="currentColor" text-anchor="end" font-weight="600">Fubon FTSE Vietnam (00885)</text><line x1="148" y1="34" x2="448" y2="34" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="26" width="191.7" height="16" rx="4" fill="#ef4444" fill-opacity=".22" stroke="#ef4444" stroke-width="1.5"/><line x1="419.0" y1="23" x2="419.0" y2="45" stroke="currentColor" stroke-width="2"/><text x="458" y="38" fill="currentColor">Bearish · Confidence 55%</text><text x="140" y="78" fill="currentColor" text-anchor="end" font-weight="600">TSMC (2330)</text><line x1="148" y1="74" x2="448" y2="74" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="66" width="241.9" height="16" rx="4" fill="#f59e0b" fill-opacity=".22" stroke="#f59e0b" stroke-width="1.5"/><line x1="298.0" y1="63" x2="298.0" y2="85" stroke="currentColor" stroke-width="2"/><text x="458" y="78" fill="currentColor">Neutral · Confidence 50%</text><text x="140" y="118" fill="currentColor" text-anchor="end" font-weight="600">Cathay Taiwan-Korea Tech (00735)</text><line x1="148" y1="114" x2="448" y2="114" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="106" width="193.5" height="16" rx="4" fill="#ef4444" fill-opacity=".22" stroke="#ef4444" stroke-width="1.5"/><line x1="419.0" y1="103" x2="419.0" y2="125" stroke="currentColor" stroke-width="2"/><text x="458" y="118" fill="currentColor">Bearish · Confidence 61%</text><text x="140" y="158" fill="currentColor" text-anchor="end" font-weight="600">Yuanta Taiwan 50 (0050)</text><line x1="148" y1="154" x2="448" y2="154" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="146" width="241.9" height="16" rx="4" fill="#f59e0b" fill-opacity=".22" stroke="#f59e0b" stroke-width="1.5"/><line x1="298.0" y1="143" x2="298.0" y2="165" stroke="currentColor" stroke-width="2"/><text x="458" y="158" fill="currentColor">Neutral · Confidence 51%</text><text x="140" y="198" fill="currentColor" text-anchor="end" font-weight="600">Foxconn (2317)</text><line x1="148" y1="194" x2="448" y2="194" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="186" width="241.9" height="16" rx="4" fill="#f59e0b" fill-opacity=".22" stroke="#f59e0b" stroke-width="1.5"/><line x1="298.0" y1="183" x2="298.0" y2="205" stroke="currentColor" stroke-width="2"/><text x="458" y="198" fill="currentColor">Neutral · Confidence 55%</text><text x="140" y="238" fill="currentColor" text-anchor="end" font-weight="600">MediaTek (2454)</text><line x1="148" y1="234" x2="448" y2="234" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="225.4" y="226" width="193.5" height="16" rx="4" fill="#22c55e" fill-opacity=".22" stroke="#22c55e" stroke-width="1.5"/><line x1="177.0" y1="223" x2="177.0" y2="245" stroke="currentColor" stroke-width="2"/><text x="458" y="238" fill="currentColor">Bullish · Confidence 56%</text><text x="140" y="278" fill="currentColor" text-anchor="end" font-weight="600">Chunghwa Telecom (2412)</text><line x1="148" y1="274" x2="448" y2="274" stroke="currentColor" stroke-width="1" opacity=".18"/><rect x="177.0" y="266" width="241.9" height="16" rx="4" fill="#f59e0b" fill-opacity=".22" stroke="#f59e0b" stroke-width="1.5"/><line x1="298.0" y1="263" x2="298.0" y2="285" stroke="currentColor" stroke-width="2"/><text x="458" y="278" fill="currentColor">Neutral · Confidence 69%</text></svg><figcaption style="font-size:12px;opacity:.6;margin-top:.25rem">Key Stock Target Ranges (Vertical Line = Current Price, Colored Band = Target Range)</figcaption></figure>

Below are the AI predictions for key individual stocks for the next 5 trading days starting Friday, 2026-07-17:

| Stock | Direction | Target Range | Confidence | Technical Signals |
| --- | --- | --- | --- | --- |
| Fubon FTSE Vietnam (00885) | Bearish | 17.89~18.31 | 55.0% | KD=BUY, MA=BUY, MACD=SELL |
| TSMC (2330) | Neutral | 2354.35~2525.65 | 50.0% | KD=SELL, MA=BUY, MACD=SELL |
| Cathay Taiwan-Korea Tech (00735) | Bearish | 93.81~101.16 | 61.0% | KD=BUY, MA=SELL, MACD=SELL |
| Yuanta Taiwan 50 (0050) | Neutral | 102.50~109.50 | 51.0% | KD=SELL, MA=SELL, MACD=SELL |
| Foxconn (2317) | Neutral | 259.16~284.84 | 55.0% | KD=BUY, MA=SELL, MACD=SELL |
| MediaTek (2454) | Bullish | 4585.48~5087.38 | 56.0% | KD=SELL, MA=SELL, MACD=SELL |
| Chunghwa Telecom (2412) | Neutral | 144.12~148.88 | 69.0% | KD=BUY, MA=SELL, MACD=SELL |

* **Fubon FTSE Vietnam (00885)**: The stock price has just broken below all short-term moving averages, showing weak buying momentum. It may continue to seek support lower in the short term.
* **TSMC (2330)**: The earnings call released positive news, but due to heavy profit-taking pressure in the market, the stock price is prone to fluctuating within its current range.
* **Cathay Taiwan-Korea Tech (00735)**: Hit by the double blow of going ex-dividend and the South Korean stock market circuit breaker storm, the stock price faces pressure to fill the dividend gap.
* **Yuanta Taiwan 50 (0050)**: Facing the double whammy of Middle East geopolitical risks and foreign capital short positions, the short-term outlook is range-bound consolidation.
* **Foxconn (2317)**: The short term will see rollercoaster-like volatility. Novice investors should watch out for short-selling pressure from foreign capital on the broader market.
* **MediaTek (2454)**: System quantitative benchmarks show a bullish bias for the next 5 days, though technical indicators still need some time to digest.
* **Chunghwa Telecom (2412)**: The short term will show sideways consolidation. Current indicators are slightly overheated, so avoid rushing to chase highs.

*(Note: Due to the influence of historical data and extreme market index levels, the proportional relationship between some individual stocks and the market index may deviate. Investors should remain mindful of the risks.)*

## Strategic Stock Selection Radar
Below are the results of our strategic screening, **not individual stock buy/sell recommendations**. We have screened stocks worthy of attention based on institutional flows and technical indicators:

| Stock | Composite Score | Institutional Flow Score | P/E Ratio | Valuation |
| --- | --- | --- | --- | --- |
| Highwealth (2536) | 84 | 100 | 6.53 | fair |
| Lextar Green Energy (1529) | 79 | 100 | 20.31 | cheap |
| Farglory (5522) | 79 | 100 | 8.69 | cheap |
| TSEC (4934) | 75 | 100 | 0.00 | expensive |
| Eurocharm (5288) | 75 | 100 | 15.34 | expensive |

* **Highwealth (2536)**: Trading volume surged by 2.48 times, showing a bullish engulfing pattern and MACD bullish divergence, indicating strengthening momentum.
* **Lextar Green Energy (1529)**: A hammer pattern has appeared, and the MACD shows bullish divergence, indicating some support below.
* **Farglory (5522)**: Trading volume surged by 3.98 times, but RSI and Williams %R indicate overbought conditions, and the bias ratio is too large, so watch out for a pullback.
* **TSEC (4934)**: Trading volume increased by 1.56 times, momentum is strengthening, and a volume-price bullish divergence has appeared.
* **Eurocharm (5288)**: Trading volume has expanded significantly, but short-term indicators show overbought conditions, and the 20-day bias ratio is on the high side at +16.57%.

## Recent Prediction Accuracy Review

<figure class="stock-chart" style="margin:1.25rem 0"><svg role="img" aria-label="Recent Directional Accuracy (Higher is more accurate; includes settled sample size)" viewBox="0 0 490 158" width="100%" style="height:auto;max-width:490px;min-width:480px;font-family:ui-sans-serif,system-ui,sans-serif;font-size:12px"><text x="66" y="35" fill="currentColor" text-anchor="end" font-weight="600">TAIEX·Next Day</text><rect x="74" y="22" width="320" height="18" rx="4" fill="currentColor" opacity=".12"/><rect x="74" y="22" width="150.6" height="18" rx="4" fill="#f59e0b"/><text x="404" y="35" fill="currentColor">47%（2/17）</text><text x="66" y="69" fill="currentColor" text-anchor="end" font-weight="600">TAIEX·Short-term</text><rect x="74" y="56" width="320" height="18" rx="4" fill="currentColor" opacity=".12"/><rect x="74" y="56" width="123.1" height="18" rx="4" fill="#ef4444"/><text x="404" y="69" fill="currentColor">38%（0/13）</text><text x="66" y="103" fill="currentColor" text-anchor="end" font-weight="600">Stocks·Short-term</text><rect x="74" y="90" width="320" height="18" rx="4" fill="currentColor" opacity=".12"/><rect x="74" y="90" width="66.7" height="18" rx="4" fill="#ef4444"/><text x="404" y="103" fill="currentColor">21%（5/24）</text><text x="66" y="137" fill="currentColor" text-anchor="end" font-weight="600">Stocks·20-Day</text><rect x="74" y="124" width="320" height="18" rx="4" fill="currentColor" opacity=".12"/><rect x="74" y="124" width="2.0" height="18" rx="4" fill="#ef4444"/><text x="404" y="137" fill="currentColor">0%（0/1）</text></svg><figcaption style="font-size:12px;opacity:.6;margin-top:.25rem">Recent Directional Accuracy (Higher is more accurate; includes settled sample size)</figcaption></figure>

In the spirit of honesty and transparency, here is a review of the AI system's actual recent prediction performance:

* **TAIEX · Next Day**: Directional accuracy 11.76% (2 hits out of 17 predictions, average error 1.4%)
* **TAIEX · Short-term**: Directional accuracy 0.0% (0 hits out of 13 predictions, average error 3.51%)
* **Stocks · Short-term**: Directional accuracy 20.8% (5 hits out of 24 predictions, average error 5.15%)
* **Stocks · 20-Day**: Directional accuracy 0.0% (0 hits out of 1 prediction, average error 14.18%)

### Settled Stock Prediction Review (Predicted Direction vs. Actual)
* **0050** (Predicted on 2026-06-29): Predicted Bearish | Result MISS | Actual Return +3.64%
* **2330** (Predicted on 2026-06-29): Predicted Neutral | Result MISS | Actual Return +3.80%
* **00885** (Predicted on 2026-06-29): Predicted Neutral | Result HIT | Actual Return +0.74%
* **00735** (Predicted on 2026-06-29): Predicted Bearish | Result MISS | Actual Return +0.54%
* **00885** (Predicted on 2026-06-23): Predicted Bullish | Result MISS | Actual Return -0.05%
* **2330** (Predicted on 2026-06-23): Predicted Neutral | Result MISS | Actual Return -3.21%

AI models face higher prediction difficulty in extremely high-level markets. We will continue to optimize our algorithms, and we ask everyone to factor accuracy and error rates into their risk considerations when trading.

## Disclaimer
This content is automatically generated by an AI model based on quantitative data and is for research reference only. It does not constitute investment advice. Investing involves risks; please make your own judgments and bear your own risks.

---

## About this article and its author

Originally published on [Mark Ku's Tech Notes](https://blog.markkulab.net/en/ai-stock-chat/ai-stock-chat-2026-07-16)

License: [CC BY 4.0](https://creativecommons.org/licenses/by/4.0/) — when reusing or quoting, credit the author and link back to the original

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