Broadcom Corp

For today's chart we've chosen to take a look at Broadcom Corp. (Nasdaq:BRCM) because it is trading near an influential level of resistance. As you can see from the chart below, the stock has been trading within a horizontal channel for most of the past year, but the brief move above the resistance is suggesting that we could see an uptake in momentum. We've added the Parabolic SAR indicator because it has historically triggered a sell signal (reversal of the dots from below the price to above) each time the stock has failed to move above the $36 level. Given the lack of a sell signal we have little reason to believe that the current rally will not be able to continue. Traders will likely set their stop-loss orders below the most recent SAR value ($35.05).