When I reviewed Broadcom ( AVGO) on May 18 and I wrote that "Traders who may still be long should hold. Dips below $660 could be used to rebuy AVGO or add to longs. The round number of $700 is the next price target with $759 after that."
With the shares closing above $800 on Friday and soaring again Tuesday, a fresh look at the charts is in order.
In the daily bar chart of AVGO, below, I can see that the shares have traded almost "straight up" which is pretty amazing. AVGO is above the rising 50-day moving average line and also above the rising 200-day line. The stock is up big but not yet "extended" above the 200-day line. Extended would be twice the level of the 200-day line or around $1,120 (2x$560).
The daily On-Balance-Volume (OBV) line and the Moving Average Convergence Divergence (MACD) are both very strong. 
In the weekly Japanese candlestick chart of AVGO, below, I can see an inverse head-and-shoulders pattern as a relatively rare continuation pattern. The height of the pattern is around $200 and when added to the breakout level around $650 gives us a price target of $850. The indicators are all bullish.
In this daily Point and Figure chart of AVGO, below, I can see that the software is projecting the $879 area as a price target.
In this weekly Point and Figure chart of AVGO, below, I can see a price target in the $1,194 area.
Bottom-line strategy: Big moves and big gains unsettle traders. Why? It is hard to get your head around the sudden profits. Do I take profits? Do I hang on for the brass ring? Do I pinch myself?
The targets of $850 and $879 are not hard to imagine. $1,194 is another matter.
