UNH Options Signal Bullish Bias: Calls at $340–$345 Dominate as Puts at $310–$325 Hedge Volatility – Here’s How to Play It

• UnitedHealth Group’s ex-dividend date (Dec 8) locks in $2.21/share dividends for shareholders, but shares trade down 0.6% at $326.57 amid mixed technicals.
• Options data shows UNH20251212C340 and UNH20251212C345 calls dominate this Friday’s open interest, while UNH20251212P310 and UNH20251212P325 puts act as short-term downside hedges.
• The put/call ratio (0.496) favors bullish positioning, but RSI at 56.74 and Bollinger Bands suggest a potential pullback to $322–$324 could trigger near-term volatility.

The big picture? UnitedHealth’s options market is betting on a rally above $340, but technical indicators hint at a possible consolidation phase. Let’s break down what this means for traders.Bullish Calls at $340–$345 Signal Aggressive Conviction

The top OTM calls for this Friday (Dec 12) are clustered between $340 and $345, with UNH20251212C340 (OI: 3,120) and UNH20251212C345 (OI: 2,642) leading the pack. This suggests institutional players or large traders are positioning for a sharp move above $340—a level that would challenge the 30D moving average ($331.66) and validate the short-term bullish Kline pattern.

But here’s the catch: the stock is currently trading below its 200D MA ($361.92), and the MACD (-2.16) and RSI (56.74) aren’t screaming for a breakout. The heavy call interest could be a self-fulfilling prophecy if retail traders follow the crowd, but a failure to close above $329.08 (intraday high) might trigger profit-taking and a retest of the $322–$324 support zone.

On the downside, puts at UNH20251212P310 (OI: 1,924) and UNH20251212P325 (OI: 1,693) indicate hedging activity. These strikes align with the lower Bollinger Band ($308.35) and 30D support ($320.84), respectively. A drop below $322 could reignite bearish sentiment, especially with the 200D support ($302.88) lurking further down.

News Flow: Dividend Lock-In vs. Earnings Optimism

The dividend news (ex-date today) is a neutral event—shareholders are set, but new buyers might hesitate. However, recent analyst upgrades (Goldman Sachs’ $406 target, JPMorgan’s $425) and Q3 earnings beats ($2.92/share vs. $2.87 est.) suggest the stock’s fundamentals remain intact.

The AI-driven virtual assistant rollout and Optum’s high-margin growth are long-term positives, but the stock’s 34.6% YTD decline and forward P/E of 18.9 (vs. industry 15.5) mean valuation concerns linger. Traders need to balance near-term options-driven optimism with the reality that UNH’s rally depends on sustaining momentum above $329.08.

Actionable Trade Ideas: Calls for Conviction, Puts for Caution

1. Bullish Play: Buy UNH20251212C340 (Dec 12 expiry) if UNH closes above $328.50 today. Target a $340–$345 breakout, with a stop-loss at $322. The RSI and MACD could fuel a rebound if the stock holds key support.
2. Bearish Hedge: Buy UNH20251219P320 (Dec 19 expiry) if UNH dips below $324. This put aligns with the 30D support and offers protection against a potential drop toward $310–$315.
3. Stock Entry: Consider buying UNH near $322–$324 if it holds above the 30D support. A close above $329.08 would validate the bullish case, with price targets at $330 and $340. Alternatively, short-term traders could sell into strength near $329.08 with a tight stop below $323.40.

Volatility on the Horizon: Balancing Bullish Bias and Structural Risks

The options market is clearly leaning bullish, but the technical setup isn’t a free ride. UNH’s ability to hold above $329.08 and close above its 30D MA will be critical. If it fails, the stock could retest $320–$322 before finding a bottom. For those with a longer time horizon, the UNH20251219C350 call (OI: 9,162) offers a leveraged play on the company’s AI and Optum-driven growth story, with expiration giving enough time for the narrative to unfold.

Bottom line: This is a stock with a clear options-driven bullish bias, but traders must stay nimble. The key is to align your risk tolerance with the stock’s volatility profile—whether you’re betting on a $340+ rally or hedging against a $310-level correction.