USA Truck (USAK) Just Reclaimed the 20-Day Moving Average

USA Truck (USAK) Just Reclaimed the 20-Day Moving Average

From a technical perspective, USA Truck (USAK) is looking like an interesting pick, as it just reached a key level of support. USAK recently overtook the 20-day moving average, and this 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.

Like other SMAs, 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.

Moving Average Chart for USAK
Moving Average Chart for USAK · zacks.com

Over the past four weeks, USAK has gained 12.2%. The company is currently ranked a Zacks Rank #3 (Hold), another strong indication the stock could move even higher.

Looking at USAK's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 1 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.

Investors may want to watch USAK for more gains in the near future given the company's key technical level and positive earnings estimate revisions.


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