TELUS falls amid sustained selling pressure and bearish market sentiment

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Telus drops 3.5% to C$11.03 today

Highlights

TELUS and AST SpaceMobile completed initial integration for direct smartphone-to-satellite connectivity targeting remote Canadian regions.
TELUS aims to expand network access beyond existing infrastructure, pursuing incremental growth through broader coverage.
Shares of TELUS stock remain under strong sell pressure, trading below key moving averages with a projected range of C$10.78 to C$11.28.

Network expansion potential offset by ongoing selling pressure

TELUS and AST SpaceMobile have completed their first integration test connecting terrestrial and satellite networks, aiming to enable direct smartphone-to-satellite communication for Canadian users in areas that lack traditional coverage, according to Simplywall. This technological milestone showcases TELUS' efforts to expand access beyond its existing infrastructure footprint, potentially positioning the company for incremental growth through broader network reach. While the move signals innovation and future addressable market expansion, current price action has remained under broader selling pressure.

Bearish momentum prevails below key moving average thresholds

On the technical front, T is trading below its MA-20 at C$11.25 and MA-50 at C$11.36, as well as beneath the MA-200 at C$16.2, indicating selling pressure across all observed timeframes. The Ichimoku Kijun sits at C$11.18, marking immediate resistance. MACD and ADX remain in Sell territory, with the RSI at 33.96, and both Stochastic RSI and CCI in oversold conditions. Bull/Bear Power and the Awesome Oscillator both confirm prevailing bearish momentum.

Sideways volatility persists as downside risk dominates

In the short term, T is likely to remain within a trading range between C$10.78 and C$11.28. The probability of further downside remains high, with limited likelihood of a sustained rebound. Should the price break above immediate resistance at C$11.18, upward momentum could develop, while a drop below C$10.78 support would open the door for further declines. The baseline scenario is for the stock to fluctuate sideways amid volatility within this range.

Anton Kharitonov, expert at Traders Union, sees TELUS under significant technical pressure as the stock trades below key moving averages and oscillators remain in bearish territory. He notes the integration test with AST SpaceMobile as a positive step, but finds that immediate sentiment and price action do not confirm a turnaround. Kharitonov believes downside risk dominates and prefers a cautious approach until signs of reversal appear. "Base case remains sideways-to-lower unless C$11.18 is reclaimed with conviction."

Earlier, analysts noted that TELUS faced persistent technical and fundamental challenges, with a broadly bearish outlook driven by restructuring actions and a significant dividend reduction. The current analysis reinforces this negative bias, highlighting a prevailing risk of further downside, with C$10.78 emerging as a key level for traders to monitor in the coming sessions.

Source of Data: T Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.