On Holding (ONON Quick QuoteONON - Free Report) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, ONON crossed above the 20-day moving average, suggesting a short-term bullish trend.

A well-liked tool among traders, the 20-day simple moving average offers a look back at a stock's price over a 20-day period. This is very beneficial to short-term traders, as it smooths out short-term price trends and gives 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 ONON have been moving higher over the past four weeks, up 7.3%. Plus, the company is currently a Zacks Rank #1 (Strong Buy) stock, suggesting that ONON could be poised for a continued surge.

The bullish case only gets stronger once investors take into account ONON's positive earnings estimate revisions. There have been 2 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 ONON on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.