Rivian Automotive (RIVN) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, RIVN broke through the 200-day moving average, which suggests a long-term bullish trend.

The 200-day simple moving average is a useful tool for traders and analysts, establishing market trends for stocks, commodities, indexes, and other financial instruments over the long term. The marker moves higher or lower along with longer-term price moves, and serves as a support or resistance level.

RIVN has rallied 7.1% over the past four weeks, and the company is a Zacks Rank #3 (Hold) at the moment. This combination suggests RIVN could be on the verge of another move higher.

The bullish case only gets stronger once investors take into account RIVN's positive earnings estimate revisions. There have been 5 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.

Investors should think about putting RIVN on their watchlist given the ultra-important technical indicator and positive move in earnings estimate revisions.

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Rivian Automotive, Inc. (RIVN): Free Stock Analysis Report

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

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