AVGO Options Signal a Key Battle at $310–$350 — Here’s How to Position for a Volatile Finish

• Intraday price drops 1.57% to $319.82 as volume surges past 20.5 million shares.

• Put open interest dominates at $275 and $300 strike levels, signaling a bearish edge ahead of Friday's expiry.

• Block trading activity highlights a $340 put ahead of March 27th, with $300 puts seeing repeated large orders over the next three months.

Look, we're seeing a stock that's been ranging for a while but is now showing signs of short-term bearish pressure. And the options market is shouting that message in all caps — the put/call ratio is skewed toward downside, and big players are betting aggressively on the lower end of that range. Let’s break this down and figure out how to trade it.

What the Options Market is Telling Us: A Battle at $310–$350

Broadcom's options chain is painting a clear picture of where the market expects the next move to come from. On this Friday (March 20), the top OTM call strikes are clustered around $350 to $420, while the puts are heavily weighted at $275 to $310. That means most market players are either preparing for a sharp rebound or a drop below the 30-day moving average.

Put open interest is especially telling — the $275 and $300 strikes are way ahead of the calls in terms of attention. And if you look at the block trades, you’ll notice large put blocks at $300 for expiries on July 17 and June 18, meaning big players are locking in protection against a potential drop. But here’s the twist: even the next Friday’s (March 27) options show similar patterns. The $340 put is drawing attention, which could mean the market is bracing for a test of the $310 support level by next week. That’s not a random number — it’s where Bollinger Bands are sitting and where the 200-day moving average is just above.

No Major News — But That Doesn’t Mean It’s Boring

There’s been no recent company news over the past few days that’s moved the needle. That’s fine. Sometimes the market’s own momentum and positioning matter more than the headlines. With no major earnings or product announcements on the table, options activity becomes even more important — it’s the real-time feedback of what traders are bracing for. And right now, it’s mostly pointing to the downside.

But here’s the catch: a drop to $310 might not be the end of the story. That’s the lower bound of the Bollinger Band and the 200-day support. If it holds, and RSI (currently at 50) doesn’t break down further, we could see a bounce. But if it gives way… well, the $275 puts are waiting.

Your Playbook for Today: OTM Puts and a Short-Date Call Spread

Let’s get tactical. If you're bearish and want to capitalize on the put-heavy setup, consider buying the AVGO20260327P340 put. It’s just $310 above the current price and has the most open interest of next Friday’s puts. If the stock closes below $340, this could give you a nice return before the weekend. And if you want to hedge a potential bounce, set up a call credit spread using AVGO20260327C355 and AVGO20260327C365. That’ll let you collect a small premium while limiting your downside if the stock holds.

For stock traders, the key levels to watch are $310 (support) and $332.50 (resistance). If AVGO holds above $310 by Friday, consider a long entry near $318–$320 with a stop just below $315. The target? $325–$330. If it breaks down and closes below $310, look for a short trade near $307–$310.

Volatility on the Horizon — Stay Ready

Broadcom is in a tight range but with a clear short-term bearish tilt. The options market is pricing in a potential move below $310, and the technicals — from RSI to moving averages — are lining up with that scenario. But the range isn’t broken yet. If the stock stays above $310, the bearish bets could be crushed by a re-test of the 30-day average at $329.50. That’s not a sure thing, but it’s worth watching.

The next 48 hours could be decisive. And if the $310 level does fall, don’t be surprised to see a sharp acceleration toward $300 and beyond. So position carefully — this isn’t a game of patience, it’s a race against time and volatility.