Larsen & Toubro Limited (LT) Stock - Complete Technical Analysis - Nov 18, 2024

Larsen & Toubro (LT) Stock Analysis: Is a Reversal Coming Key Support & Resistance Levels

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investing in stocks involves risks, and it's essential to conduct thorough research or consult with a financial advisor before making investment decisions.

Larsen & Toubro Limited (LT) is showing mixed signs of market behavior with a trading price of 3,542.15, well below its 52-week high of 3,919.90. It is also above its 52-week low by 16.86%, which indicates some resilience in price action. A closer look at the technical indicators reveals a neutral RSI, indicating that there isnt an immediate overbought or oversold condition. The ADX at 15.14 reflects a lack of strong directional momentum, suggesting that the stock is currently in a consolidation phase.

The recent bullish Morning Star pattern points to a potential reversal, which could indicate upward movement if the stock sustains above 3,530. Meanwhile, the support at 3,510 could act as a critical level for the stock, and if it breaks below that, further weakness might follow. Resistance is expected around 3,570-3,580, with any breakouts above these levels likely to bring further bullish sentiment.

The ATR (Average True Range) suggests that the stock is quite volatile, with daily price movements of up to 170 points. Therefore, this stock might be suited for traders who are ready to manage risk actively. A key takeaway for traders is to watch for price action around the support and resistance levels, as these will likely dictate the short-term trend.