Key Takeaways
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Broadcom shares fell nearly 4% on Monday, joining a sell-off in other leading chipmakers, as investors booked profits in some of this year’s best performing stocks that have ridden Wall Street’s AI wave.
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Momentum appeared to shift in Broadcom shares last Tuesday after the stock climbed to a new record high but staged an intraday reversal to close lower for the day. Since then, the stock has formed three consecutive red bars on above-average volume, indicating selling conviction.
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Key retracement levels to watch in Broadcom shares include: $1,410, $1,225, $1,150, and the psychological $1,000 level.
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For further clues that buyers could be moving back into the stock, investors should watch for bullish price patterns, such as a hammer candlestick of a piercing pattern, at these price levels.
Broadcom (AVGO) shares fell nearly 4% on Monday, joining a…
