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

The 20-day moving average can show signals that are similar to other SMAs as well. 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.

NTAP could be on the verge of another rally after moving 11.9% higher over the last four weeks. Plus, the company is currently a Zacks Rank #3 (Hold) stock.

Looking at NTAP's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 3 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.

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