Quick drop in $AVGO – Option Trading Edge

In our Platinum Option trading Service we were watching $AVGO as it broke down through it’s 50 Day Simple Moving Average.

This provided a an opportunity to buy puts.  Put buyers were rewarded within 2 days with a quick drop down to the 100 day SMA that was over $6 lower.  We have been following since QCOM declined their bid dropping AVGO stock price.

The stock recovered and hovered around its 50 Day SMA, but the market pushed it back below.  Sellers quickly spotted the 100 Day SMA break and rallied it later in the day.  Our subscribers were taking profits with the 100 Day SMA touch.