After reaching an important support level, Veracyte (VCYT) could be a good stock pick from a technical perspective. VCYT surpassed resistance at the 200-day moving average, suggesting a long-term bullish trend.
The 200-day simple moving average helps traders and analysts determine overall long-term market trends for stocks, commodities, indexes, and other financial instruments. The indicator moves higher or lower along with longer-term price moves, serving as a support or resistance level.
Shares of VCYT have been moving higher over the past four weeks, up 26.1%. Plus, the company is currently a Zacks Rank #2 (Buy) stock, suggesting that VCYT could be poised for a continued surge.
Once investors consider VCYT'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 1 higher, and the consensus estimate has increased as well.
Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on VCYT for more gains in the near future.
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Veracyte, Inc. (VCYT): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).