AAPL Options Signal $270 Bullish Bias as AI Partnership Fuels Call Buying – Here’s How to Play It

• Apple’s AI partnership with Google and Q4 revenue beat are fueling call buying at the $270 strike.
• Options data shows a 0.70 put/call open interest ratio, with heavy call OI at $270 and $280 ahead of Friday’s expiry.
• Block trade of 2,000 puts at $260 suggests hedging by large players ahead of AI-driven volatility.

Here’s the takeaway: AAPL is perched on a knife’s edge. The stock’s 0.1% dip today masks a bullish undercurrent—options traders are piling into calls at the $270 and $280 strikes, while the AI-Google partnership has analysts like Wedbush raising price targets to $350. But don’t ignore the bearish MACD divergence or that block trade of 2,000 puts at $260. This is a stock with upside potential, but it’s not without risk.

Bullish Sentiment at $270, but Watch the $250 Floor

The options market is screaming about one thing: AAPL20260116C270. With 98,388 open contracts, this strike is the most popular call ahead of Friday’s expiry. It’s not just retail traders—big money is stacking up here. The next level, $280, has 73,624 open calls, suggesting a collective bet that Apple’s AI renaissance will push shares above $270 by mid-week.

But the puts aren’t ignored. The $250 strike has 37,505 open puts for Friday, and a block trade of 2,000 puts at $260 (AAPL20260116P260) adds intrigue. This could signal institutional hedging ahead of the AI news cycle. Think of it like a storm: the calls are the wind pushing higher, but the puts are the anchor holding back a sudden downdraft.

AI News Validates Call Buying, But Supply Chains Remain a Wild Card

Apple’s partnership with Google isn’t just a headline—it’s a strategic pivot. Integrating Gemini into Siri and services could unlock new revenue streams, and Wedbush’s $350 target isn’t out of reach if execution is smooth. But JPMorgan’s caution about chip shortages and regulatory risks can’t be ignored. The market is betting on the AI narrative, but if component delays hit iPhone 18 production, those $270 calls could turn into a costly bet.

Trade Ideas: Calls for the Bold, a Stock Play for the Pragmatic

For options traders: AAPL20260116C270 is the most liquid and leveraged bet. If Apple’s shares hold above $257.76 (lower Bollinger Band) and the AI news gains traction, this call could see 10-15% gains by Friday. For a longer play, AAPL20260123C275 (17,669 OI) offers a slightly safer entry with more time to absorb volatility.

For stock buyers: Consider entering near $257.76 if support holds. A break above $261.81 (intraday high) would target $273.24 (30D MA), with a stop-loss below $255.50. This is a high-conviction play, but Apple’s $3.85T market cap and AI momentum make it a compelling risk.

Volatility on the Horizon: Balancing AI Optimism and Near-Term Risks

The next two weeks are a tightrope walk. The AI-Google deal is a long-term win, but Q1 earnings, supply chain updates, and regulatory rulings could sway sentiment. If Apple’s shares test $250 (a level with 3,636 open puts next Friday), that could trigger a short-term rebound. But for now, the call-heavy options data and bullish analyst targets suggest the smart money is leaning in. Just don’t bet the farm—this is a stock with momentum, but also a history of whipsaws when fundamentals lag expectations.