After reaching an important support level, PENN Entertainment (PENN Quick QuotePENN - Free Report) could be a good stock pick from a technical perspective. PENN surpassed resistance at the 200-day moving average, suggesting 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.

PENN could be on the verge of another rally after moving 5.2% higher over the last four weeks. Plus, the company is currently a Zacks Rank #3 (Hold) stock.

Looking at PENN's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 5 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.

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