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Broadcom (BRCM) has dipped down to the upper band of a key support zone today. The stock's 3.3% loss, which began with a gap lower open, has pushed the stock down to its supportive 200-day moving average near $34.70. Just above this level is a massive upside gap that was left behind after the latest Apple (AAPL) report. BRCM, as well as many Apple component names, surged along with AAPL following its blowout quarter. BRCM gained more than 6% last Wednesday on very heavy trade, leaving behind a huge gap at $34.85. Both the 200-day moving and the Apple-fever gap form the upper band of a solid support band. The lower border of this key zone includes BRCM's March and April lows which lie just below $34.00.

I believe this area provides Broadcom bulls with a very low-risk buying opportunity. The stock has fallen quite a bit from its 2012 highs and at current levels has retraced slightly more than one-third of the Thanksgiving rally. At the $34.00 level, BRCM will have lost just shy of 15% from the March peak. Volume has remained well contained on the downside, despite the volatile decline. This trend has been in place, for the most part, since early April and continues this week. The flip side of this light selling is a trio of heavy accumulation days since the Apple news. Also adding fuel to the fire were Broadcom's first-quarter results along with an estimate increase from UBS....105 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.