Broadcom reports earnings this week. Mike Khouw says this trade could be a winner

We often fail to appreciate just how big Broadcom is. While significantly smaller than Nvidia, Google or Apple, Broadcom shares are knocking on a $2 trillion valuation. Five years ago, only two companies held that distinction. Two trillion dollars isn't what it used to be, but Broadcom's $1.75 trillion market cap is still greater than Tesla, SpaceX, Eli Lilly and JPMorgan, the world's largest bank. And yet the company's earnings garners scant attention compared to those names, to say nothing of Nvidia, which smashed expectations last week.Still, opportunity abounds, and Broadcom (AVGO) is scheduled to report Q3 earnings after the market close on Wednesday. The stakes are high, particularly after the last earnings proved disappointing. Shares fell nearly 13% the following day and ~23% over the next month. Semis in general have languished since.For options traders, the setup offers an interesting mix of elevated implied volatility, technical ambiguity, and the lingering shadow of last quarter's dramatic sell-off. Market sentiment does matter. I like to think of it as the market holding a bit of a grudge, and Broadcom's Q2 print is still fresh in the minds of investors. Despite delive...