Broadcom has recently taken a hit as sellers caused the stock to gap down 3 times in just 8 days. This last gap is what I would call an exhaustion gap and the drop in volume indicates that the sellers are slowing down in their selling activity. Our strategy is to buy the stock now, and when the price moves back up to fill the gap (around $31), we will sell our position and take the profit.
Equity Oracle: 07/26/13
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