We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Image: Bigstock
Unity Software Inc. (U) Recently Broke Out Above the 50-Day Moving Average
Unity Software Inc. (U - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, U broke through the 50-day moving average, which suggests a short-term bullish trend.
The 50-day simple moving average, which is one of three major moving averages, is widely used by traders and analysts to establish support and resistance levels for a range of securities. Because it's the first sign of an up or down trend, the 50-day is considered to be more important.
Shares of U have been moving higher over the past four weeks, up 18.9%. Plus, the company is currently a Zacks Rank #2 (Buy) stock, suggesting that U could be poised for a continued surge.
The bullish case only gets stronger once investors take into account U's positive earnings estimate revisions. There have been 7 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.
Investors should think about putting U on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.