L&T has formed a very good support base of 1500-1600.
In the past the stock has tested 1500-1600 levels multiple times and failed to break it, this 1500-1600 acted as supply zone back then.
After the breakout - Now the same zone will act as a demand zone and price sustaining well above.
This shows buyer are active and the stock has now spent enough time to gain strength and looking to start gaining momentum to break the 2000 mark and make new All time high.
Entry CMP - 1700 TO 1600
Target - 2400
Why L&T now?
L&T remains the best play in the infra space.
The increased value of IT subsidiaries can bring more upside.
Cons: Capex intensive ( Man, machine ) and government policies has impact on mega projects ( could be positive this decade).
May not be a multibager - but a safe, dividend paying consistent ROCE to have if you are looking at portfolio diversification for long term.
In the past the stock has tested 1500-1600 levels multiple times and failed to break it, this 1500-1600 acted as supply zone back then.
After the breakout - Now the same zone will act as a demand zone and price sustaining well above.
This shows buyer are active and the stock has now spent enough time to gain strength and looking to start gaining momentum to break the 2000 mark and make new All time high.
Entry CMP - 1700 TO 1600
Target - 2400
Why L&T now?
L&T remains the best play in the infra space.
The increased value of IT subsidiaries can bring more upside.
Cons: Capex intensive ( Man, machine ) and government policies has impact on mega projects ( could be positive this decade).
May not be a multibager - but a safe, dividend paying consistent ROCE to have if you are looking at portfolio diversification for long term.