Yahoo Finance Daqo New Energy (DQ) Just Reclaimed the 50-Day Moving Average
After reaching an important support level, Daqo New Energy (DQ) could be a good stock pick from a technical perspective. DQ surpassed resistance at the 50-day moving average, suggesting 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.
Shares of DQ have been moving higher over the past four weeks, up 36.7%. Plus, the company is currently a Zacks Rank #3 (Hold) stock, suggesting that DQ could be poised for a continued surge.
The bullish case only gets stronger once investors take into account DQ's positive earnings estimate revisions. There have been 2 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on DQ for more gains in the near future.
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DAQO New Energy Corp. (DQ) : Free Stock Analysis Report
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