From your computer you are able to establish a telnet connection to a remote host but a traceroute to the host ip address results in a request timeout. why may be this be?

Mostly firewalls may protect trace route to the host IP address.

Explanation:

When telnet has established the connection to a remote host. Then kindly check the host IP address and their gateway settings.  

If any resident firewall such as antivirus is stopping the ping method or gate way firewall is protecting both ends during trace route. Once the connection is established don’t worry about trace route on host IP  address.

Kindly check where the disconnections happens during the trace route.  in case it happens in between then they're stability on the connection issue which should be solved immediately.