After reaching an important support level, Farfetch Limited (FTCH) could be a good stock pick from a technical perspective. FTCH surpassed resistance at the 50-day moving average, suggesting a short-term bullish trend.
The 50-day simple moving average is one of three major moving averages used by traders and analysts to determine support or resistance levels for a wide range of securities. But the 50-day is considered to be more important because it's the first marker of an up or down trend.
Shares of FTCH have been moving higher over the past four weeks, up 15.8%. Plus, the company is currently a Zacks Rank #3 (Hold) stock, suggesting that FTCH could be poised for a continued surge.
The bullish case only gets stronger once investors take into account FTCH's positive earnings estimate revisions. There have been 3 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on FTCH for more gains in the near future.
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Farfetch Limited (FTCH) : Free Stock Analysis Report
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