Hello everybody, Drew Dosik here with
Verified Investing. Today we've got pro
charts to go over for stocks. All right,
guys? So, I've got four charts picked
out, some of which I think can be some
great buying opportunities in the near
term should we see a little bit more
selling pressure. But it nonetheless,
these are some very big stocks, ones
that do move quite a bit, and ones that
can actually get you some decent profit
on these swing trades. So, let's take a
look at these stocks. First up, guys,
looking at Google. Now, as you may say,
like, "Drew, you just said these stocks
move a lot." Well, Google can move a
lot, as we've seen here. Price action at
this low of March of this year was right
around 272, and we pushed up and made a
high of 408.61 before coming back in on
the charts. Now, I've got the time frame
zoomed back out for you on the daily
time frame, looking at this inclining
parallel channel that has mainly been
containing price. You can see here when
the outline, the lower range of this
parallel channel, has not been hit for a
while. And we see here with this
inclining trend line taken back from the
pivot low in June of '25, connected with
this pivot low of March of '26. Notice
how we hit it once, twice, three times,
and then now on the fourth and fifth
subsequent hits, we are now breaking
this trend line. So, where is Google
going with the potential breakout
breakdown at hand right now? So, we zoom
in a little bit closer. Guys, I'm going
to go through this with you on several
of these charts because again, analyzing
stocks is a repetitive sequence. Stocks
move up, move down, they create
patterns. And so, analyzing them, as
long as you can learn a few easy
technical analysis tools, you can
dispose and use those to help you make
money. So, watch this. So, we pull up
the chart here on Google. As I've
already illustrated by simply drawing a
parallel channel and one inclining trend
line connecting pivot lows, we see now
Google is on the verge of a breakdown.
Now, we haven't got any confirming
breakdown, that would be required with a
an extended daily move lower than
today's candle after today. So, you need
to see a little bit further selling
pressure that can increase probabilities
of price remaining underneath this trend
line. This was support when price came
from above, and now when price if we can
have another sell day, this trend line
will then become resistance. All right?
So, again, where do we find the next
level that Google may go? Well, I grab
my Fibonacci retracement tools. This is
one of the easiest tools that you can
use in your chart. All you have to do is
find a low pivot, and I did right here
on this March 30th pivot, draw my first
Fibonacci sequence pivot point there,
then go up to the most recent pivot top
high. We clearly see right here when
price fell in July, it pierced the 618
fib retrace, and bounced up. Now, on
this next attempt, there could be some
minor support here. This area could
produce the bounce to retest the bottom
of the trend line, but I'm not
interested in that little gain right
here of potentially about $12 or so on
on this chart of Google. I'm looking for
a bigger gain, and so I actually have my
eyes focused more on this 786 fib
retrace. Notice how that's at $301,
the psychological whole round number of
300 likely will be a spot that I will be
supported. If we didn't have this
Fibonacci sequence retracement
illustrating that this could be a good
support level. In addition, we've got
the bottom of the parallel channel
coming in contact with this fib level in
October 21st. So, if we see a potential
bounce near term, retest that trend
line, then further selling, that's going
to be a great spot to pick up some
Google. Also, look back on the chart,
notice all this consolidation and low
pivots right in this range illustrating
that this area is a very high
probability area for a bounce should we
have selling come down into this area
within the next month or so by October
21st. Uh next up on the chart of AVGO,
pretty similar scenario on AVGO but AVGO
in fact is breaking the bottom of its
parallel channel. You can see this
parallel channel has hold is had held
price back since December of 2024 with a
little bit of a dip underneath it just
briefly here in March of this year. Now
we find ourselves we've confirmed
beneath, had the retrace up to that
trendline much like what I'm describing
could occur up here on Google. We
already confirmed the move down once we
did, we retrace, got rejected, and you
see price is really kind of jockeying
around this area of the broken inclining
parallel channel. So much like with
Google guys, what did I say? This
pattern recognition is repeatable. I'm
getting my Fibonacci sequence
retracement tool, taking it to the most
recent pivot low, take it up to the most
recent pivot high, and boom, look at
that 786 fib retrace that comes right in
line with a gap fill here back from
April 7th. That tells me now with price
got pretty close here on September 3rd,
but it since has bounced up and that
tells me that if price can plummet
straight back down, this will be the
location of interest for buyers to
provide a bounce on AVGO right there at
333 and 84 cents. Next up, we've got
LITE on the opposite end of the spectrum
putting in a potential breakout candle
today. You can see yesterday attempted
for a breakout, but by the time the
closing bell rang, we actually pulled
price back down underneath this
declining trendline. This trendline, I
mind you, is just taken from pivot high
to the very next significant pivot, and
that illustrated the price action
resistance on
the chart yesterday. Now today we're
actually accelerating up above this
declining trendline. This would only be
the first day closing above this trend
line if in fact that does happen. That
trend line basically is at today's lows
at 978.69.
Then the work is still set for LITE.
This isn't just a breakout and blow past
everything. We need to then follow it up
with another push higher tomorrow. If we
were able to do that, any sort of return
back down to this declining trend line
could be a buying opportunity for a
resumption of momentum. The one problem
with this, we're not overbought nearly
at 61.63,
but 70 is that threshold. All right? So,
if we were to continue pushing up, we're
going to bubble up against that 70
threshold, potentially pierce this 50%
area of the parallel, come in contact
with the high here, $1,050,
and then I see price could give us that
opportunity to come back down to this
trend line right around 970 for the then
following bounce on the chart. Still
more work needs to be done, but at least
put this on your radar. It is in
potential breakout mode. Certainly
breakout watch today on LITE on the
daily time frame. Next up, a very
similar chart, guys. We've got AMD. Now,
AMD has broken out from this near-term
trend line. Now, this isn't the high
pivot, which is illustrated from this
second trend line that I'm highlighting
right now above current price right at
527.96.
So, you can see price over the last four
trading days nearly straight up gapping
over this first uh declining trend line
for a breakout, not even retracing, and
then just running straight up and
kissing the resistance level today. Now,
if we look on our RSI here, similar
story as LITE. Getting and approaching
overbought, but not quite there yet.
That does allow AMD some extra room to
run if it can get above this level
tomorrow, potentially put in uh a
near-term pivot high, retrace back down
to this trend line at 518.81, and then
that could be the breakout retrace
bounce play on AMD. But, first things
first, we need to get a daily close
above, then a secondary push beyond
that. It could happen the day after, a
couple days after, but just be mindful
of that. It's not necessarily a buy as
soon as we get a daily close above. What
that extension does is it allows spacing
so that this declining trend line can
flip from resistance into support when
price comes back down to it. If we just
have one candle up, price can easily
navigate its way right back down through
that trend line. So, do you be mindful
of that. Those are breakout retraces.
How to play them, uh what they're going
to be looking for as far as buy levels,
and a potential continuation with that
momentum.
All right, guys. Thanks so much for
tuning in and watching today with
ProCharts breaking down these uh four
charts with TA, breakout scenarios,
breakdown scenarios at hand with
potential buy levels on Google coming up
as well as AVGO. All right, guys. Uh
thanks again for watching. My name's
Drew here at Verified Investing. We'll
see you next time. Until then, take
care, folks.
>> [snorts]