AVGO Options Signal $350 Bullish Battle: How Traders Can Position for AI Semiconductor Surge

• Broadcom (AVGO) plunges 5.2% to $336.13, testing 30D support at $348.62
• Options frenzy: 17,991 puts at $310 vs. 17,709 calls at $350 (this Friday’s top strikes)
• Block trade hints at long-term bullishness: $836K in March 2026 $360 calls

Here’s the takeaway: AVGO’s options market is locked in a high-stakes tug-of-war around the $350 level. While the stock’s 5% drop has triggered panic, the options data and AI-driven fundamentals suggest a strategic entry point for those willing to navigate short-term volatility. Let’s break down why this could be a setup for a rebound — and where to place your bets.

The $350 Bull-Bear Crossroads

The options chain tells a story of divided sentiment. This Friday’s top call options are clustered at $350–$410, with 17,709 contracts open at $350 — just 140 contracts shy of the top put at $310. This tight balance suggests heavy positioning for a rebound above $350 (a 4.5% move from current levels) or a breakdown below $310 (a 12% drop).

But here’s the twist: The block trade for AVGO20260320C360 (March 2026 $360 calls) with $836,000 in turnover hints at long-term conviction. Someone — likely a whale — is betting Broadcom’s AI semiconductor dominance will push past $360 by mid-2026. That’s a 7.4% target from today’s price.

Why Newsflow Favors the Bulls

Broadcom’s recent headlines are a goldmine for optimists. The fifth XPU customer in Q4 2025 isn’t just a number — it’s a validation of their AI ASIC strategy in a $50B+ market. Analysts raising price targets to $462–$500? That’s a 35–48% upside from current levels. And don’t sleep on the cash flow: $107B projected by 2030 is a fortress for dividend sustainability and buybacks.

But let’s not ignore the red flags. CEO Tan’s $70K share sale and CFO’s $30K exit might signal personal liquidity needs, not bearish conviction. Institutional ownership at 76.43% remains a stabilizing force — these players aren’t fleeing.

Actionable Trade Ideas for AVGO

For options traders, the most compelling setup is the AVGO20260116C350 call (this Friday’s $350 strike). Why? The 17,709 open contracts indicate a liquidity sweet spot. If the stock closes above $350 by Friday, these calls could see explosive gains. For a longer play, the AVGO20260123C390 call (next Friday’s $390 strike) offers leverage if the rebound accelerates.

Stock traders should focus on two price levels:

• Entry: Buy AVGO near $338.30 (200D support zone) with a stop below $328.74 (lower Bollinger Band).
• Target: Aim for $350.37 (30D resistance) as a first goal, then $360 (block trade level).

Volatility on the Horizon

The next 72 hours will be critical. If AVGO holds above $334.42 (intraday low), the 30D support at $348.63 becomes a catalyst for a short-covering rally. But watch the puts at $310 — if the stock breaks below $320, the 1:1 put/call ratio suggests a wave of panic selling could accelerate the decline.

Bottom line: This is a stock at a crossroads. The AI semiconductor tailwinds and block trade positioning favor a rebound — but only if the bulls can defend $334.42. Position yourself with a mix of options and stock trades, and you’ll be ready to capitalize on whichever way this battle swings.