Alphabet (GOOGL) Options Signal Bullish Bias: Target $335+ with Strategic Call Plays as AI Momentum Fuels Long-Term Optimism

• Current Price Action: GOOGL trades at $305.41, up 0.97% from $302.46, with volume surging to 18.1 million shares.
• Options Imbalance: Call open interest (2.14M) outpaces puts (1.72M), with heavy call OI at $335 and $340 strikes.
• Block Trade Alert: A 1,000-lot buy of the GOOGL20251219C260 call suggests near-term bullish positioning.

Here’s the takeaway: GOOGL’s options activity and technicals point to a high-probability upside breakout. The stock is perched above key support at $300.97 while AI-driven news and block trades hint at institutional conviction. Let’s break it down.The Options Playbook: Calls Dominate, Puts Stay Guarded

The options market is clearly leaning bullish. This Friday’s top OTM calls—$335 (OI: 24,316), $340 (OI: 17,511), and $350 (OI: 15,472)—show heavy positioning for a $30+ rally. These strikes align with the upper Bollinger Band at $330.90, suggesting traders are pricing in a sharp move toward AI-driven growth targets.

But don’t ignore the puts. The $290 strike (OI: 21,994) acts as a shadow floor. If the stock dips below $300, that level could trigger a rebound. The key block trade—GOOGL20251219C260—is telling. Buying 1,000 calls at the $260 strike (a 15% discount to current price) implies a belief in a near-term pop, likely tied to the Q4 earnings beat and AI infrastructure deals.

News That Fuels the Fire

Alphabet’s recent headlines are a goldmine for bulls. The 16% revenue surge, $100B+ SpaceX stake, and renewable energy deals in Malaysia all scream "growth engine." The AI angle is especially potent: Google Cloud’s custom TPUs and Gemini model are positioning the company to outpace Microsoft and Amazon in the long run.

But here’s the catch: The RSI at 34.97 suggests the stock is oversold, which could mean a short-term pullback. However, the 200D moving average at $211.52 is a distant floor—this isn’t a bearish stock. The news flow and options data are in sync: AI momentum is the name of the game.

Actionable Trades: Calls for the Brave, Stock for the PatientFor Options Traders:

• Short-Term Play: Buy the GOOGL20251226C310 call (next Friday expiry). The $310 strike is just above today’s price and sits below the heavy OI at $335. If the stock breaks $315, this call could multiply quickly.
• Longer-Term Bet: The GOOGL20260320C270 call (March 2026 expiry) offers leverage to the 2026 earnings projections. With a forward P/E of 27x, a $323.70 fair value target looms.

For Stock Investors:

• Entry Point: Consider buying GOOGL near $303.199 (30D MA) if it holds above $300.97. A break above $306.19 (intraday high) would validate the bullish case.
• Target Zones: First profit-taking at $315 (5% gain), then $335 (11% gain) as the heavy call OI level.

Volatility on the Horizon

The next 72 hours will be critical. If GOOGL closes above $310, the $335 call OI could ignite a parabolic move. Conversely, a drop below $300 would test the 200D MA and force a reevaluation of the AI narrative. But given the block trades, analyst optimism, and renewable energy contracts, the long-term trend remains intact.

This isn’t a stock to short right now. It’s a high-conviction play for those who want to ride the AI wave—and the options market is already betting on it.