The unchanged outlook triggered profit-taking across AI-related stocks, as investors who had bid shares to premium valuations looked for stronger signs of accelerating growth.Defensive Rotation Weighs on SemiconductorsTuesday’s decline appeared to be driven more by market sentiment. The Nasdaq Composite dropped 2.06%, while the S&P 500 lost 0.84%. Although most sectors traded higher, investors favored defensive areas such as real estate and healthcare over technology.Market breadth remained positive, with nine of 11 sectors advancing. However, leadership came from defensive groups rather than high-growth technology stocks. The Real Estate Select Sector SPDR Fund gained 2.41%, while the Health Care Select Sector SPDR Fund rose 1.33%.That shift in leadership weighed on semiconductor stocks, including Broadcom, which traded largely in line with weakness across the Nasdaq.Technical Picture Remains ConstructiveDespite the recent pullback, Broadcom continues to hold a favorable long-term trend. The stock is trading 9.9% below its 20-day simple moving average and 3.8% below its 50-day average. However, it remains 5.7% above its 100-day average and 8.1% above its 200-day average.Momentum indicators have weakened. The moving average convergence divergence, or MACD, remains below its signal line, suggesting buying momentum has cooled following the stock’s recent rally.Broadcom’s longer-term setup remains supported by a golden cross that formed in April, when the 50-day moving average moved above the 200-day moving average. However, after setting a new 52-week high in June, the stock appears to be consolidating.Key resistance stands near $429.50, close to the 20-day moving average. Key support is around $324.50, where buyers previously entered the stock.Broadcom Analyst OutlookAnalysts remain broadly bullish. The consensus rating is Buy, with an average price forecast of $513.68. Recent research notes include: