Alphabet (GOOG) Options Signal Bullish Momentum: Key Strike Levels and Trade Setups for Jan 16–23 Expirations

• Alphabet’s Q4 revenue hits $75.2B, with AI-driven cloud growth and a $10B buyback boosting investor confidence.
• Options data shows heavy call open interest at $350 and $340 strikes, while puts cluster below $320.
• RSI near overbought territory and a bullish MACD histogram hint at a potential breakout above $327.86 (Bollinger Upper Band).

Here’s the core insight: options market sentiment and technicals align for a bullish bias, with call options dominating open interest and price action testing key resistance. The stock shows upside potential but faces near-term risks from the FTC lawsuit and volatility ahead of expirations.

Bullish Pressure in the Options Chain

Let’s break down the OTM options data. This Friday’s expirations show GOOG20260116C350 (26,492 OI) and GOOG20260116C340 (14,864 OI) as the most watched calls, while puts like GOOG20260116P320 (13,566 OI) and GOOG20260116P305 (17,193 OI) anchor downside risk. The put/call ratio of 0.807 (favoring calls) suggests institutional players are hedging for a rally, not a crash.

But here’s the twist: the $350 call wall could act as a self-fulfilling prophecy. If the stock approaches that strike, heavy OI might trigger a liquidity vacuum, forcing sellers to offload shares—potentially pushing the price higher. Conversely, the $320–$305 put cluster hints at a worst-case scenario where sellers panic, though the 30D support at $314.22 could soften that blow.

Company News: Fuel for the Bull Case

Alphabet’s recent headlines are a goldmine for bulls. The $75.2B revenue beat, $10B buyback, and AI-powered cloud tools all reinforce a narrative of sustained growth. Analysts at JMP even raised their price target to $155, citing AI’s role in ad and cloud revenue.

But don’t ignore the FTC lawsuit. While it’s unlikely to derail the stock in the short term, it adds a layer of uncertainty. Investors might treat it like a speed bump—buying dips if the stock corrects post-announcement. The key is whether the market sees this as a regulatory hurdle or a distraction.

Actionable Trade Setups

For options traders, the GOOG20260116C350 and GOOG20260116C340 are prime candidates. If the stock closes above $329.87 (intraday high) by Friday, these calls could see explosive gains. For a longer play, the GOOG20260123C335 (8,019 OI) offers a cheaper entry if the stock consolidates near $327.86 (Bollinger Upper Band).

Stock traders should consider entry near $327.86 if the price holds above the 30D MA ($315.42). A breakout above $329.87 could target $340, while a pullback to $314.22 (30D support) offers a second chance. A stop-loss below $310 would protect against unexpected weakness.

Bullish Trends and Strategic Entry Points for GOOG in Early 2026

The big picture? Alphabet’s options market and fundamentals are in sync for a bullish phase. The $330–$350 range is where the action will unfold, with AI-driven growth and buybacks as tailwinds. But stay cautious—overbought RSI and the FTC lawsuit mean volatility isn’t out of the picture.

Your move: Play the call-heavy OI with tight risk management. If the stock holds its structure, this could be a textbook short-term breakout. If not, the puts below $320 offer a hedge—though the data suggests that’s a low-probability outcome.