Yahoo Finance Root, Inc. (ROOT) Recently Broke Out Above the 20-Day Moving Average
From a technical perspective, Root, Inc. (ROOT) is looking like an interesting pick, as it just reached a key level of support. ROOT recently overtook the 20-day moving average, and this suggests 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.
ROOT could be on the verge of another rally after moving 14.2% higher over the last four weeks. Plus, the company is currently a Zacks Rank #2 (Buy) stock.
Looking at ROOT'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.
Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on ROOT for more gains in the near future.
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Root, Inc. (ROOT) : Free Stock Analysis Report
