Texas Instruments: Bullish Indicators Suggest Buy the Dip

Texas Instruments (TXN) stock has lost 15.8% since its Feb. 11 all-time high and is down 8.1% in March. However, the stock is testing a trendline with historically bullish implications. The 80-day moving average's 20-day ATR signal has occurred 16 times in the past 10 years, resulting in a higher stock price 87% of the time with an average 6.5% pop. Short-term options traders are bearish, but the low volatility expectations and high volatility realized suggest options could be an attractive route for weighing the stock's next moves.