AVGO, MU and AMD Forecast – Semiconductors All Over the Place in Premarket

AVGO Technical Analysis

Broadcom looks like it’s going to launch at the open on Tuesday as it continues to see plenty of buying pressure. Short-term pullbacks continue to offer buying opportunities, and this nice, voluminous candle from Monday is going to have a bit of follow-through. I like the idea of buying dips. You can see the longer term; Broadcom has just been a monster, and it looks like we are stretching even further. This is one of those stocks where it just takes off once it’s happy, and this looks ready to happen yet again.

MU Technical Analysis

Micron looks as if it is going to be a little bit lower in the early part of the session, but keep in mind that when the bell opens, people will be looking at the fact that we bounce from the 50-day EMA. Watch this area here. If there is a bit of a bounce, it could open up the possibility of Micron going to the $250 level yet again. If we break down below the $190 level, then maybe the correction gets a little bit deeper, but that does not look like the likely scenario.

AMD Technical Analysis

Advanced Micro Devices looks as if it is going to open near the $200 level. The $200 level is a large, round, psychologically significant figure, but what is more important here is that we are getting close, or are, if we open up here, going to open at the very top of that gap from early October. What this means is that if we break down below the bottom of that hammer from the Monday session, we could drop all the way down to the $175 level near the 200-day EMA.

That would be an ideal place to pick up this stock if support appears there. On the other hand, if we take off to the upside, breaking above the 50-day EMA would be very bullish and opens up the possibility of $260 being targeted.

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