In the previous session, the markets opened on a strong positive note and remained in a positive territory throughout the day. The Nifty index made a day high near 15834 and closed with a net profit of 191 points. Technically, Index formed a strong bullish candle on the chart which shows strength in the market. Traders should be focused on ‘buy on dips’ strategy for the next trading day.

Look at the below research report of ‘Stocks to Buy for – Friday, July 23, 2021’ before the market opens.

Larsen & Toubro Ltd

NSE :LT   BSE :500510  Sector : Infrastructure Developers & Operators

On the daily chart, we can see that L&T stock prices have formed a ‘Cup and Handle pattern’ and are currently placed above the Neckline resistance zone. It is a continuation pattern which is formed when there is a prior uptrend, followed by a consolidation zone. As per pattern theory, 140 points movement on upside can be expected in coming days.  Also, Stock is comfortably closed above the long-term resistance line which confirms the bullish trend.

In short, trend for L&T Ltd. looks to be positive for now.one can initiate buy near current price and add more on dips around support levels near 1590 which can take price towards 1775-1780 levels as long as 1549 remain intact on downside.

Check More Analysis on L&T at: Larsen & Toubro Ltd