Analysts have issued a bullish call on APL Apollo Tubes Ltd (APLAPO) and a bearish outlook on Muthoot Finance Ltd (MUTFIN) for the May series, based on technical indicators and derivatives data.
APL Apollo is recommended as a buy in the ₹1,778–₹1,788 range, with a target price of ₹1,820 and a stop loss at ₹1,709.90. The stock is among the few trading near its all-time highs, with delivery-based buying indicating strong investor interest. Futures data shows steady leverage levels, with potential for fresh long positions as the stock closed near peak levels.
Options data supports the bullish sentiment, with unwinding of call positions at higher strikes and aggressive put writing at both at-the-money (ATM) and out-of-the-money (OTM) levels, pointing to firm support and expectations of continued upside.
“We expect the ongoing momentum to continue and the stock to test ₹1,820 in the near term,” analysts said.
In contrast, Muthoot Finance is suggested as a sell in the ₹2,105–₹2,115 range, with a downside target of ₹2,000 and a stop loss at ₹2,171.10. The stock has been under sustained selling pressure since February and has struggled to maintain levels above ₹2,300. The latest quarterly results further dampened sentiment, with the stock closing near monthly lows.
Fresh short build-up in the derivatives segment post-earnings suggests bearish positioning. Moreover, aggressive call writing at multiple strikes reflects limited upside potential.
“Given the persistent weakness and lack of buying interest at higher levels, we anticipate further downside in the coming sessions,” analysts noted.
Both trade setups are backed by a combination of technical patterns and derivatives cues, indicating likely near-term directional moves in the respective stocks.
