Schnitzer Steel (SCHN) Crossed Above the 200-Day Moving Average: What That Means for Investors
From a technical perspective, Schnitzer Steel (SCHN) is looking like an interesting pick, as it just reached a key level of support. SCHN recently overtook the 200-day moving average, and this suggests a long-term bullish trend.
The 200-day simple moving average is a useful tool for traders and analysts, establishing market trends for stocks, commodities, indexes, and other financial instruments over the long term. The marker moves higher or lower along with longer-term price moves, and serves as a support or resistance level.
Over the past four weeks, SCHN has gained 16.8%. The company is currently ranked a Zacks Rank #2 (Buy), another strong indication the stock could move even higher.
The bullish case solidifies once investors consider SCHN's positive earnings estimate revisions. No estimate has gone lower in the past two months for the current fiscal year, compared to 1 higher, while the consensus estimate has increased too.
Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on SCHN for more gains in the near future.
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Schnitzer Steel Industries, Inc. (SCHN) : Free Stock Analysis Report
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