Tencent Music Entertainment Group Sponsored ADR (TME) Crossed Above the 20-Day Moving Average: What That Means for Investors
After reaching an important support level, Tencent Music Entertainment Group Sponsored ADR (TME) could be a good stock pick from a technical perspective. TME surpassed resistance at the 20-day moving average, suggesting a short-term bullish trend.
The 20-day simple moving average is a popular trading tool. It provides a look back at a stock's price over a 20-day period, and is beneficial to short-term traders since it smooths out price fluctuations and provides more trend reversal signals than longer-term moving averages.
The 20-day moving average can show signals that are similar to other SMAs as well. If a stock's price is moving above the 20-day, the trend is considered positive. When the price falls below the moving average, it can signal a downward trend.
Shares of TME have been moving higher over the past four weeks, up 8.1%. Plus, the company is currently a Zacks Rank #2 (Buy) stock, suggesting that TME could be poised for a continued surge.
Looking at TME's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 1 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.
Investors should think about putting TME on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.
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Tencent Music Entertainment Group Sponsored ADR (TME) : Free Stock Analysis Report
