Teledyne Stock Holds At 544.97 With Key 550 Resistance In Focus

Teledyne (TDY) Technical Analysis
Teledyne closed marginally higher at $544.97 (+0.04%) in its latest session, reflecting muted near-term momentum. The following analysis evaluates key technical signals derived from historical price data.
Candlestick Theory
Recent candles show indecision, with September 5th forming a bullish hammer ($542.99 low, $549.98 close) that briefly pierced support near $535. However, September 8th–9th generated bearish engulfing patterns, confirming resistance at $550. The $535–$540 zone now acts as critical support, aligning with multiple reversal wicks, while $550 caps upside attempts. A sustained break above $550 is needed to invalidate this barrier.
Moving Average Theory
The 50-day MA (~$535) intersects with the 200-day MA (~$515), confirming a long-term bullish structure. However, the 100-day MA (~$538) is converging sideways, signaling consolidation. Current price trades between the 50-day and 100-day MAs, suggesting near-term equilibrium. A decisive close above the 100-day MA would signal bullish resumption, while failure at the 50-day MA may trigger pullbacks toward the 200-day level.
MACD & KDJ Indicators
MACD histograms show fading bullish momentum (signal line convergence near zero). KDJ diverges bearishly: the August peak at $563 coincided with a K-value of 88, while the September rally to $550 registered a lower K-value of 82, indicating weakening upside energy. KDJ’s current position (K: 42, D: 38, J: 50) resides in neutral territory but leans toward oversold conditions near-term.
Bollinger Bands
Bands contracted sharply to 6-month lows in September (width: ~$8 vs. July’s $25), indicating extreme volatility compression. Price now hugs the middle band (~$540), reflecting equilibrium. Historically, similar contractions (e.g., July) preceded explosive moves. A close above $550 would breach the upper band, suggesting bullish momentum ignition.
Volume-Price Relationship
Distribution patterns dominate since July’s $570 peak, evidenced by higher volume on down days (e.g., August 15: 601,713 shares, -0.64%). Recent rallies (September 3–5) saw volume decline 20% from July averages, questioning sustainability. Supportive volume is needed to breach $550 resistance convincingly.
Relative Strength Index (RSI)
RSI oscillates neutrally at 48, diverging from July’s overbought peak (RSI: 76). While not oversold, its failure to exceed 60 during September rallies reinforces bearish momentum divergence. RSI’s position suggests equilibrium, but trendline breaks warrant caution despite no extreme readings.
Fibonacci Retracement
Using the swing low at $419 (April 2025) and high at $570 (July 2025):
- 23.6% retracement ($535) aligns with the 50-day MA and recent support.
- 38.2% level ($515) converges with the 200-day MA.
The $535–$515 zone represents a high-probability buy area if tested, as it clusters key moving averages and Fibonacci levels.
Confluence and Divergence
Confluence exists at $535–$540 (50-day MA, Fibonacci 23.6%, and candlestick support), making it a critical defensive zone for bulls. Bearish divergences dominate momentum studies: MACD, KDJ, and RSI all failed to confirm September’s price highs. The volatility compression via Bollinger Bands heightens breakout/breakdown risks, with volume trends favoring downside resolution absent catalyst-driven buying. Near-term direction hinges on a conclusive break above $550 resistance or below $535 support. Probabilistically, indicators favor range-bound action unless volatility expands materially.