Broadcom (BRCM) came across the bullish engulfing scan on Wednesday. After becoming oversold with a sharp decline in November, the stock firmed the last two weeks and formed a bullish engulfing on Wednesday. This white candlestick completely engulfed the prior black candlestick. Volume was also above average. Follow through above the early December high would confirm the pattern.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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