Twilio (TWLO Quick QuoteTWLO - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, TWLO broke through the 20-day moving average, which suggests a short-term bullish trend.

The 20-day simple moving average is a popular investing tool. Traders like this SMA because it offers a look back at a stock's price over a shorter period and helps smooth out price fluctuations. The 20-day can also show more trend reversal signals than longer-term moving averages.

Like other SMAs, 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.

TWLO has rallied 12.3% over the past four weeks, and the company is a Zacks Rank #2 (Buy) at the moment. This combination suggests TWLO could be on the verge of another move higher.

The bullish case solidifies once investors consider TWLO's positive earnings estimate revisions. No estimate has gone lower in the past two months for the current fiscal year, compared to 9 higher, while the consensus estimate has increased too.

Investors may want to watch TWLO for more gains in the near future given the company's key technical level and positive earnings estimate revisions.