Taiwan stocks' sharp rises and falls are the new normal; stay vigilant but don't panic, says host

Chiu Chin-yi, host of Formosa TV's financial programs "Finance Weekend Party" and "Finance Sunday Party," is advising the public to become accustomed to the "new normal" of significant fluctuations in the stock market. She notes that the Taiwan stock market has demonstrated remarkable resilience, experiencing a substantial surge of over 2200 points last week, reclaiming a position above 46,000 points, even amidst global market anxieties.

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You really need to start getting used to the 'new normal' of sharp rises and falls.

Last week, the Philadelphia Semiconductor Index saw a sharp decline of over 6%, creating a tense atmosphere worldwide. However, the Taiwan stock market defied these global trends, showcasing a strength that surprised many observers. Chiu emphasized that while maintaining a sense of caution when the market is high is important, investors should avoid unnecessary panic. The key, she suggests, is to develop new strategies for navigating these volatile conditions, as the market's future trajectory may involve significant daily gains followed by sharp drops, and positive news being met with market turbulence.

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The Taiwan stock market's resilience is truly stronger than many imagine.

Chiu explained that the overall long-term trend remains unchanged, but the difficulty in trading has increased due to significant variations in individual company performance and market positioning. She stressed the importance of having a clear set of principles and discipline to differentiate opportunities, enabling investors to maximize profits and, more crucially, to preserve their gains.

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Be vigilant when prices are high, but there's no need to scare yourself. What you really need to do is establish a new method for facing high-level fluctuations.

This advice comes as Chiu herself has been actively traveling, having undertaken 11 international trips this year. She shared that life can indeed transform into the kind of existence one once admired, suggesting a balance between professional insights and personal fulfillment.

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You must have a set of principles and discipline to differentiate [opportunities], allowing you to amplify profits and, more importantly, to hold onto your profits.