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HubSpot (HUBS) Recently Broke Out Above the 20-Day Moving Average

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HubSpot (HUBS - Free Report) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, HUBS crossed above the 20-day moving average, suggesting 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.

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.

Moving Average Chart for HUBS

Over the past four weeks, HUBS has gained 8%. The company is currently ranked a Zacks Rank #3 (Hold), another strong indication the stock could move even higher.

The bullish case only gets stronger once investors take into account HUBS's positive earnings estimate revisions. There have been 12 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.

With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on HUBS for more gains in the near future.


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