After reaching an important support level, Align Technology (ALGN) could be a good stock pick from a technical perspective. ALGN surpassed resistance at the 50-day moving average, suggesting a short-term bullish trend.
The 50-day simple moving average, which is one of three major moving averages, is widely used by traders and analysts to establish support and resistance levels for a range of securities. Because it's the first sign of an up or down trend, the 50-day is considered to be more important.
Shares of ALGN have been moving higher over the past four weeks, up 10.6%. Plus, the company is currently a Zacks Rank #3 (Hold) stock, suggesting that ALGN could be poised for a continued surge.
Once investors consider ALGN's positive earnings estimate revisions, the bullish case only solidifies. No estimate has gone lower in the past two months for the current fiscal year, compared to 7 higher, and the consensus estimate has increased as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on ALGN for more gains in the near future.
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Align Technology, Inc. (ALGN) : Free Stock Analysis Report
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