From a technical perspective, Semtech (SMTC Quick QuoteSMTC - Free Report) is looking like an interesting pick, as it just reached a key level of support. SMTC recently overtook the 50-day moving average, and this suggests a short-term bullish trend.

The 50-day simple moving average is a widely used technical indicator that helps determine support or resistance levels for different types of securities. It's one of three major moving averages, but takes precedent because it's the first sign of an up or down trend.

Over the past four weeks, SMTC has gained 10.4%. The company is currently ranked a Zacks Rank #1 (Strong Buy), another strong indication the stock could move even higher.

The bullish case solidifies once investors consider SMTC'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.

Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on SMTC for more gains in the near future.