From a technical perspective, Littelfuse, Inc. (LFUS Quick QuoteLFUS - Free Report) is looking like an interesting pick, as it just reached a key level of support. LFUS's 50-day simple moving average crossed above its 200-day simple moving average, which is known as a "golden cross" in the trading world.

A golden cross is a technical chart pattern that can signify a potential bullish breakout. It's formed from a crossover involving a security's short-term moving average breaking above a longer-term moving average, with the most common moving averages being the 50-day and the 200-day, since bigger time periods tend to form stronger breakouts.

A successful golden cross event has three stages. It first begins when a stock's price on the decline bottoms out. Then, its shorter moving average crosses above its longer moving average, triggering a positive trend reversal. The third and final phase occurs when the stock maintains its upward momentum.

This kind of chart pattern is the opposite of a death cross, which is a technical event that suggests future bearish price movement.

Shares of LFUS have been moving higher over the past four weeks, up 7.9%. Plus, the company is currently a #1 (Strong Buy) on the Zacks Rank, suggesting that LFUS could be poised for a breakout.

Once investors consider LFUS's positive earnings outlook for the current quarter, the bullish case only solidifies. No earnings estimate has gone lower in the past two months compared to 4 revisions higher, and the Zacks Consensus Estimate has increased as well.

Investors should think about putting LFUS on their watchlist given the ultra-important technical indicator and positive move in earnings estimates.