Teledyne Gains 0.94% As Technicals Signal Bullish Continuation Above $543

Teledyne (TDY) advanced 0.94% in the latest session, closing at $540.06 amid moderate volume. This analysis evaluates the stock’s technical landscape using multiple frameworks applied to the provided one-year dataset.
Candlestick Theory
Recent candlestick patterns reveal a consolidation phase near the $530-$542 range. The July 15 session formed a bearish shooting star (high: $542.30, close: $535.03) suggesting hesitation, but this was negated by the July 16 bullish engulfing pattern that closed above the prior high. Key resistance is evident at $542-$543 (triple top from July 14-16), while swing lows at $517.96 (July 3) and $509.51 (July 2) establish near-term support. A decisive close above $543 may activate bullish continuation signals.
Moving Average Theory
The 50-day moving average ($518) and 100-day MA ($495) slope upward, confirming an intermediate bullish trend. The 200-day MA ($465) maintains a positive gradient, reflecting a resilient long-term uptrend. Crucially, the July 10 golden cross (50-day crossing above 200-day MA) signals potential acceleration. Current price holding above all three MAs suggests sustained bullish control, with the 50-day MA serving as dynamic support.
MACD & KDJ Indicators
MACD (12,26,9) shows a positive histogram expansion since early July, confirming strengthening momentum. However, the KDJ oscillator (specifically the %K and %D lines) resides near 80, indicating overbought territory. While no bearish crossover is yet observed on KDJ, this divergence warns of potential near-term consolidation. The MACD’s persistent bullish stance tempers this warning, implying any pullback may be shallow.
Bollinger Bands
Volatility expansion occurred in mid-July as prices touched the upper band ($538-$542), typically signaling strong directional momentum. The July 16 close near the upper band ($540.06) extends this bullish pressure. The 20-day moving average (mid-band: $528) provides immediate support. Notably, bandwidth contracted in late June preceding the current breakout – a classic volatility squeeze resolution. Sustained trading above $535 would validate bullish band expansion.
Volume-Price Relationship
Volume surged 45% on July 10’s +1.47% breakout, confirming institutional participation. Recent advances (July 14-16) show volume modestly expanding during up days and contracting during the July 15 pullback – a constructive sign. However, the absence of climactic volume (>500k shares) at resistance suggests consolidation may precede further gains. Critical support at $515-$517 aligns with the year’s highest volume reversal candle (June 20: 697k shares).
Relative Strength Index (RSI)
The 14-day RSI calculated at 72 enters overbought territory (>70), though this is common in strong uptrends. Historically (e.g., January 22 rally), TDY’s RSI has remained elevated for weeks during momentum surges. Bearish divergence is absent, as recent highs correspond with ascending RSI peaks. While overextension risks exist, RSI alone doesn’t negate the trend; rather, it suggests potential consolidation before further upside.
Fibonacci Retracement
Applying Fibonacci to the primary uptrend (August 2024 low: $390, July 2025 high: $542) reveals significant confluence. The 23.6% retracement ($504) anchored the June-July consolidation, demonstrating institutional memory at this level. The 38.2% level ($482) aligns with the April breakout zone and the 200-day MA. Bullishly, TDY has maintained above the 23.6% Fib during corrections, reinforcing $504 as a critical support. A close above $542 projects measured moves to $566 (127.2% extension).
Confluence and Divergence Observations
Strong confluence exists at $504-$508 (50-day MA, 23.6% Fibonacci, high-volume reversal zone), creating a robust support floor. Resistance at $542 aligns with Bollinger Upper Band and psychological resistance. The KDJ overbought signal diverges slightly from MACD’s bullish momentum, suggesting potential near-term churn but no trend reversal. Volume and moving averages unanimously support the broader uptrend, with Bollinger Band expansion confirming breakout validity.