After Golden Cross, OraSure Technologies (OSUR)'s Technical Outlook is Bright
After reaching an important support level, OraSure Technologies, Inc. (OSUR) could be a good stock pick from a technical perspective. OSUR recently experienced a "golden cross" event, which saw its 50-day simple moving average breaking out above its 200-day simple moving average.
A golden cross is a technical chart pattern that can signify a potential bullish breakout. It's formed from a crossover involving a security's short-term moving average breaking above a longer-term moving average, with the most common moving averages being the 50-day and the 200-day, since bigger time periods tend to form stronger breakouts.
Golden crosses have three key stages that investors look out for. It starts with a downtrend in a stock's price that eventually bottoms out, followed by the stock's shorter moving average crossing over its longer moving average and triggering a trend reversal. The final stage is when a stock continues the upward climb to higher prices.
A golden cross is the opposite of a death cross, another technical event that indicates bearish price movement may be on the horizon.
OSUR has rallied 43% over the past four weeks, and the company is a #3 (Hold) on the Zacks Rank at the moment. This combination indicates OSUR could be poised for a breakout.
Looking at OSUR's earnings expectations, investors will be even more convinced of the bullish uptrend. For the current quarter, there have been 3 changes higher compared to none lower over the past 60 days, and the Zacks Consensus Estimate has moved up as well.
Investors may want to watch OSUR for more gains in the near future given the company's key technical level and positive earnings estimate revisions.
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OraSure Technologies, Inc. (OSUR) : Free Stock Analysis Report
