Since the tail-end of January, TEL’s prevailing trend was pretty bearish. Selling pressure is on a steady increase, but momentum keeps wavering—hence, in the place of large breakdowns, the stock just sustained a slow downtrend.
Nonetheless, it seems every time TEL touches its 200-d MA, it manages to bounce back up. Case in point, last Friday, it reached an intra-day low of 1,335.00 before trading upwards toward the latter half of the trading session.
The range between MAs, however, is starting to thin out — which could point to a potential death cross. With volatility simmering down, we expect TEL to continue trading between its month-long range with a slight downward bias.
Trade the range.