Northrop Grumman (NOC Quick QuoteNOC - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, NOC broke through the 20-day moving average, which suggests 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.

Similar to other SMAs, if a stock's price moves above the 20-day, the trend is considered positive, while price falling below the moving average can signal a downward trend.

Shares of NOC have been moving higher over the past four weeks, up 8.6%. Plus, the company is currently a Zacks Rank #3 (Hold) stock, suggesting that NOC could be poised for a continued surge.

The bullish case only gets stronger once investors take into account NOC's positive earnings estimate revisions. There have been 5 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 NOC for more gains in the near future.