Interactive Brokers Group, Inc. (IBKR) Crossed Above the 20-Day Moving Average: What That Means for Investors

From a technical perspective, Interactive Brokers Group, Inc. (IBKR) is looking like an interesting pick, as it just reached a key level of support. IBKR recently overtook the 20-day moving average, and this suggests a short-term bullish trend.

A well-liked tool among traders, the 20-day simple moving average offers a look back at a stock's price over a 20-day period. This is very beneficial to short-term traders, as it smooths out short-term price trends and gives more trend reversal signals than longer-term moving averages.

Similar to other SMAs, if a stock's price moves above the 20-day, the trend is considered positive, while price falling below the moving average can signal a downward trend.

Shares of IBKR have been moving higher over the past four weeks, up 5.4%. Plus, the company is currently a Zacks Rank #2 (Buy) stock, suggesting that IBKR could be poised for a continued surge.

Looking at IBKR'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.

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

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This article originally published on Zacks Investment Research (zacks.com).

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