Larsen & Toubro , A Long Term Investment (Keep It Simple)

2022年1月15日

FYI : Red Line refers to Monthly Trendline(TL) , Blue Line refers to Weekly Trendline(TL), Black Line refers to Daily Trendline (TL)[\b]

Larsen & Toubro (LT) is an Indian construction and manufacturing mammoth with MCap of Rs . 2.7L Crores ,so it's safe to say that LT is a blue chip stock with low downside and prospect of consistent return. Stock has given a CAGR of 18% over the last 5 years. Now coming to Technical Analysis of it's chart :

1. Stock gave a breakout and closed above redline for the first time in last weeks & has re -tested and bounced back from it which confirms this
breakout is genuine.

2. Stock is also respecting the blue line since post covid bull run.

3. Stock is trading @ All Time High ,hence using Fibonacci retracement tool to aim for targets which is 2800 in this case.

4. Swing traders can keep a trailing SL to minimize losses & maximize profits; for me it's whenever it breaks the blueline and gives a closing below
it.

5. For people looking to buy & forget, can keep a SL if it breaks and closes below the red line.


Have a Peaceful Trading!