AVGO climbs to highest close since November 27, 2017
Broadcom Inc. (AVGO) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, AVGO ended Wednesday at 281.32 gaining $1.93 (0.69%) on low volume, outperforming the Nasdaq 100 (0.02%). Today's close at 281.32 marks the highest recorded closing price since November 27, 2017. Trading up to $1.99 lower after the open, Broadcom managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Tuesday's high at 280.39, the market confirmed its breakout through the previous session high after trading up to $1.77 above it intraday.
Daily Candlestick Chart (AVGO as at Feb 13, 2019):
Wednesday's trading range has been $4.15 (1.48%), that's below the last trading month's daily average range of $6.01. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for AVGO.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Trading close to 2017's high at 285.68 we might see further upside momentum if potential buy stops at the level get activated.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "52 Week High" stand out. Its common bullish interpretation has been confirmed for Broadcom. Out of 227 times, AVGO closed higher 51.10% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 57.27% with an average market move of 1.09%.