Alphabet (GOOGL) Options Signal $320 Bullish Bias: Here’s How to Position for a Post-Holiday Rally

• Current Price Action: GOOGL trades at $313.69, down 0.21% from $314.35, with intraday support at $311.92 and resistance near $315.08.
• Options Imbalance: Call open interest dominates at $320 (9,792 contracts this Friday), while puts pile up at $312.5 (7,731) and $295 (4,992) for next Friday.
• Block Trade Alert: A $2.5M bet on the GOOGL20260116P240 put and a $1.35M call buy near $260 hint at mixed institutional positioning.

The stock isn’t screaming—it’s whispering. After a 64% rally in 2025, GOOGL’s pullback has created a textbook setup for a breakout. The options market is pricing in a $320 target, while technicals and news flow suggest this dip could be a buying opportunity. Let’s break down why the upside bias is stronger than the risks.Bullish Options Clusters and Whale Moves

The call/put open interest ratio (0.8075) isn’t just skewed—it’s strategic. For this Friday’s expiry, $320 calls (9,792 OI) and $315 calls (7,513 OI) dominate, suggesting institutional players are hedging for a post-holiday pop. Meanwhile, the GOOGL20260116P240 put (2,000 contracts, $2.54M turnover) acts as a floor, protecting against a drop below $240—a level 20% below current prices.

But don’t ignore the puts. The $295 strike (4,992 OI next Friday) and $280 strike (4,132 OI) show some bearish positioning, though these strikes are far enough to imply panic isn’t widespread. The key takeaway? The market expects a test of $315–$320 before expiry, with heavy liquidity to push the stock higher if it breaks out.

News Flow: Why the Options Bets Make Sense

Alphabet’s Q3 $102.3B revenue blowout and the $4.75B Intersect acquisition are more than headlines—they’re infrastructure bets. By securing power and data centers for AI, the company is future-proofing its cloud growth. BMO’s $343 price target and the $10B PANW security deal add credibility to the bullish case.

Yet risks linger. The DOJ’s antitrust remedies and EU AI Act delays could slow momentum. But with institutional inflows at $141.7B and a $91B CapEx plan for TPUs, Alphabet’s balance sheet is bulletproofing against short-term headwinds. The options data? It’s pricing in execution, not just hope.

Trade Ideas: Stock and Options PlaysFor Options Traders:

• Bull Call Spread: Buy GOOGL20260102C320 (next Friday expiry) if GOOGL breaks $315. Target $325–$330, with a stop below $311.92.
• Put Hedge: Sell GOOGL20260102P295 to offset downside risk, collecting premium if the stock holds above $300.

For Stock Buyers:

• Entry Near $312–$313 if GOOGL rebounds off its 200D Bollinger Band ($299.64). Target $325 (30D support/resistance zone) with a hard stop at $305.
• Breakout Play: If the stock closes above $315 this Friday, consider a $314–$315 entry, aiming for $320–$325 by next week’s expiry.

Volatility on the Horizon

The market is pricing in a volatile finish. With $320 calls and $295 puts as liquidity hotspots, the next 72 hours will test whether this dip is a buying opportunity or a consolidation phase. Alphabet’s fundamentals are solid, but the options data tells a clearer story: money is flowing into strikes that assume a $320+ finish.

If you’re in, lock in some downside protection with the $312.5 puts. If you’re on the sidelines, watch for a close above $315—this could be the spark for a post-holiday rally. Either way, the $311.92 level is your floor. Don’t let it crumble.