ASML (ASML Quick QuoteASML - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, ASML broke through the 200-day moving average, which suggests a long-term bullish trend.

A useful tool for traders and analysts, the 200-day simple moving average helps determine long-term market trends for stocks, commodities, indexes, and other financial instruments. It moves higher or lower in conjunction with longer-term price performance, and serves as a support or resistance level.

Over the past four weeks, ASML has gained 11.5%. The company is currently ranked a Zacks Rank #2 (Buy), another strong indication the stock could move even higher.

The bullish case solidifies once investors consider ASML's positive earnings estimate revisions. No estimate has gone lower in the past two months for the current fiscal year, compared to 6 higher, while the consensus estimate has increased too.

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