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Akamai Technologies (AKAM) Recently Broke Out Above the 50-Day Moving Average
Akamai Technologies (AKAM - Free Report) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, AKAM broke through the 50-day moving average, which suggests a short-term bullish trend.
The 50-day simple moving average is one of three major moving averages used by traders and analysts to determine support or resistance levels for a wide range of securities. But the 50-day is considered to be more important because it's the first marker of an up or down trend.
AKAM could be on the verge of another rally after moving 14.3% higher over the last four weeks. Plus, the company is currently a Zacks Rank #2 (Buy) stock.
The bullish case solidifies once investors consider AKAM's positive earnings estimate revisions. No estimate has gone lower in the past two months for the current fiscal year, compared to 2 higher, while the consensus estimate has increased too.
Investors should think about putting AKAM on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.