Amazon (AMZN) Options Signal Bullish Bias: Calls Dominate at $235–$240 as AI Growth Fuels 2026 Outlook

• AMZN trades at $231.29, down 0.53% from its 52-week high of $232.52, but sits above key 30D and 200D moving averages.
• Options market shows 0.736 put/call open interest ratio, with 230K+ calls at $235–$240 strikes vs. 8K+ puts at $215–$220.
• Block trades reveal $480K buy of 500 AMZN20260116C250 calls and $1.35M mystery put trade at AMZN20251121P240.
• AWS’s 20% Q3 growth, AI chip investments, and same-day delivery expansion validate Evercore ISI’s 2026 top-pick call.

The options market is whispering a clear message: traders are betting on a breakout above $235. With technicals aligned to the long-term bullish trend and AWS’s AI-driven momentum, AMZN’s near-term direction feels like a tug-of-war between cautious bears and aggressive bulls. Here’s how to read the tea leaves.Bullish Call Overload at $235–$240, But Puts Hint at Hedging Pressure

Let’s start with the numbers: 23,099 open interest at AMZN20260116C235 and 20,673 at AMZN20260116C240 (this Friday’s expirations) scream “price target.” That’s not random—it’s a crowd-sourced vote of confidence. The histogram on the MACD (-0.09) and RSI (55.1) suggest momentum is stabilizing after a pullback from the $232.60 intraday high.

But don’t ignore the puts. While the 8,244 open interest at AMZN20260116P215 looks small, it’s part of a broader pattern: big money is hedging against a drop below the 200D support zone ($221.06–$222.80). The block trade of 500 AMZN20260116C250 calls ($480K notional) is a red flag—someone’s prepping for a post-holiday rally.

AWS AI Investments and Same-Day Delivery Validate the Bull Case

Amazon’s recent moves aren’t just headlines—they’re strategic chess moves. AWS’s Graviton5 CPU launch (optimized for AI workloads) and the $11B Project Rainier data center align with Evercore ISI’s thesis: cloud and AI will drive 2026 outperformance. The same-day delivery expansion to 2,300+ U.S. cities? That’s a direct hit to competitors like Walmart and Instacart.

Here’s the kicker: Zacks notes Amazon’s Q3 capex hit $125B, with $8B allocated to Anthropic (AI) and 500,000 Trainium2 chips. Retail investors love stories, and this one’s about dominance in two $1T markets—e-commerce and cloud.

Trade Ideas: Calls for the Breakout, Stock for the Bounce

For options: Buy AMZN20260116C235 ($235 calls) at $1.20–$1.30 if AMZN closes above $232.60 today. The $235 strike is a sweet spot—it’s just above the 30D MA ($228.50) and below the upper Bollinger Band ($236.89). If you want to stretch, AMZN20260116C240 offers 10%+ upside if AWS’s Q4 guidance hits.

For stock: Consider entries near $229.08 (middle Bollinger Band) with a stop below $227.50. The 200D MA at $216.32 is a fortress-level support—break that, and the puts at $215–$220 could ignite.

Volatility on the Horizon: Eyes on January 16th

The block trades expiring Jan 16th (AMZN20260116C250 and P230) suggest a potential catalyst in early January. With Q4 earnings (expected Jan 30) and AWS’s AI roadmap announcements on the horizon, AMZN could see a 5–7% move either way. The key is to stay liquid—this stock doesn’t sleep.

Bottom line: AMZN’s options activity and fundamentals are in sync. The bulls have the upper hand, but don’t let complacency blind you to the $220 psychological level. Play the breakout, hedge the downside, and watch the AI story unfold.