Bullish Pennant Forming on AVGO? Target: $271.50📊 Chart Breakdown:
AVGO is showing signs of a bullish pennant formation after a strong impulsive move up, followed by a period of consolidation.
🔹 Lower Highs & Trendline Resistance – The stock has been making lower highs, forming a downward sloping resistance.
🔹 Support at 9 EMA (Yellow Line) – The price has bounced off the 9 EMA, which suggests buyers are stepping in.
🔹 Volume Decline During Consolidation – A classic bullish pennant trait, showing a buildup before a potential breakout.
🔹 Breakout Confirmation Needed – A close above the descending trendline would confirm the breakout and push toward our target price of $271.50.
📈 Bullish Case:
If AVGO breaks out above resistance, we could see a strong continuation toward $271.50 in the coming weeks.
⚠️ Key Levels to Watch:
✅ Breakout Above: $232-$235
❌ Support to Hold: 9 EMA (yellow) & $220
💡 Final Thoughts:
With the current price action and EMA support, this setup favors the bullish case, but confirmation is key! Watch for a high-volume breakout for the best entry.
What do you think? Are you bullish on AVGO? Let’s discuss! 🔥📊
