Author observes that AVGO’s post-earnings reactions since the OpenAI launch have alternated up/down each quarter; the last reaction was a gap up, so the next should be a crash/down. Buying the dip after a post-earnings sell-off (the “crash” phase) positions for a reversal in the next earnings cycle. Small tactical bet on a recurring short-term pattern; author is transparent it’s a hunch. Pattern may break; no fundamental catalyst; external macro events or company-specific news invalidate the pattern.
Author observes that AVGO’s post-earnings reactions since the OpenAI launch have alternated up/down each quarter; the last reaction was a gap up, so the next should be a crash/down. Buying the dip after a post-earnings sell-off (the “crash” phase) positions for a reversal in the next earnings cycle. Small tactical bet on a recurring short-term pattern; author is transparent it’s a hunch. Pattern may break; no fundamental catalyst; external macro events or company-specific news invalidate the pattern.