NXP Semiconductors (NXPI)'s Technical Outlook is Bright After Key Golden Cross

After reaching an important support level, NXP Semiconductors N.V. (NXPI) could be a good stock pick from a technical perspective. NXPI recently experienced a "golden cross" event, which saw its 50-day simple moving average breaking out above its 200-day simple moving average.Considered an important signifier for a bullish breakout, a golden cross is a technical chart pattern that's formed when a stock's short-term moving average breaks above a longer-term moving average; the most common crossover involves the 50-day and the 200-day, since bigger time periods tend to form stronger breakouts.Golden crosses have three key stages that investors look out for. It starts with a downtrend in a stock's price that eventually bottoms out, followed by the stock's shorter moving average crossing over its longer moving average and triggering a trend reversal. The final stage is when a stock continues the upward climb to higher prices.This kind of chart pattern is the opposite of a death cross, which is a technical event that suggests future bearish price movement.NXPI has rallied 40.2% over the past four weeks, and the company is a #2 (Buy) on the Zacks Rank at the moment. This combination indicates NXPI could be poised for a breakout.The bullish case only gets stronger once investors take into account NXPI's positive earnings outlook for the current quarter. There have been 11 upward revisions compared to none lower over the past 60 days, and the Zacks Consensus Estimate has moved up as well.Investors should think about putting NXPIon their watchlist given the ultra-important technical indicator and positive move in earnings estimates.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks