AI semiconductor revenue surge confirmed lifts Broadcom stock toward $381.72 resistance

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Broadcom jumps 3.07% on AI sales surge

Highlights

Broadcom reported $6.7 billion in AI semiconductor revenue for Q3 2026, a 221% year-over-year increase.
AI chip sales contributed major growth and increased investor focus on Broadcom's product range and sector role.
Broadcom stock trades near key resistance with short-term bullish momentum but mixed technical signals and a $355.21 to $381.72 forecast range.

AI chip revenue surge drives renewed stock interest and sector focus

Broadcom reported $6.7 billion in AI semiconductor revenue for its third fiscal quarter of 2026, representing a 221% increase year-over-year, according to Pomegra. This surge in realized AI chip sales highlights strong demand in a critical growth segment, drawing additional attention to Broadcom's product portfolio and market position. The magnitude of this gain anchors current interest in the stock.

Mixed momentum signals emerge as price tests long-term resistance

On the technical front, AVGO is trading above the MA-20 at $359 and the MA-50 at $364.79 on the H1 timeframe, but remains just below the long-term MA-200 at $369.78, marking this level as near-term resistance. The Ichimoku Kijun at $356.87 acts as immediate support. Momentum indicators present mixed readings: MACD signals a strong sell, while both ADX and RSI also register sell conditions. In contrast, Stoch RSI and Bull/Bear Power highlight overbought territory and ongoing buyer dominance, with CCI reading neutral and the Awesome Oscillator showing no clear direction.

Volatility band narrows near resistance as breakout risk builds

Over the coming sessions, AVGO is expected to consolidate within a typical volatility band spanning $355.21 to $381.72. A baseline forecast anticipates price holding between these support and resistance levels. Should momentum build decisively above $369.78, it could fuel a further upside extension. On the downside, a breach below $356.87 would increase the potential for a move toward the lower forecast boundary.

Viktoras Karapetjanc, expert at Traders Union, sees strong realized growth in Broadcom’s AI semiconductor segment as a major catalyst supporting the stock’s upward momentum. He notes that technicals confirm constructive sentiment, with price above key shorter-term averages and close to an important long-term resistance at $369.78. Although some indicators are mixed, the fundamental strength from the 221% year-over-year increase in AI revenue remains a core driver. Karapetjanc believes consolidation in a higher range is likely unless momentum decisively clears resistance. "With such robust segment growth anchoring sentiment, I expect buyers to stay active on dips as long as support holds above $356.87."

Earlier, analysts noted that Broadcom was experiencing sustained downside pressure, as cautious forward guidance and bearish technical signals outweighed its robust earnings growth. The current technical setup introduces mixed momentum readings and highlights $369.78 as a pivotal resistance level, suggesting that a decisive move above this point could open the door to further upside in the near term.

Source of Data: AVGO Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.