ABBV Options Signal Bullish Bias at $230–$210 Range: Here’s How to Play the Post-Deal Volatility

• ABBV trades at $218.95, down 0.5% intraday, with Bollinger Bands squeezing between $218.42 and $234.09
• Options market shows 6,689 open calls at $230 and 4,359 puts at $210 ahead of Friday’s expiry
• AbbVie’s $100B US investment pact and PD-1xVEGF licensing boost long-term fundamentals

The stock’s technicals and options activity tell a story of cautious optimism. While ABBV dips below its 30-day MA of $226.09, the options market is pricing in a potential rebound toward $230–$240 levels. Here’s how to navigate the setup.Bullish Calls at $230 Clash with Defensive Puts at $210

This Friday’s options chain shows heavy call open interest at $230 (6,689 contracts) and $240 (5,741), suggesting traders are eyeing a break above the 30-day support/resistance zone of $220.04–$220.31. Meanwhile, puts at $210 (4,359 OI) act as a hedge against a drop toward the lower Bollinger Band at $218.42. The 0.88 put/call ratio (call dominance) reinforces the bias for upside, but don’t ignore the risk: RSI at 42.1 and MACD below zero hint at lingering bearish momentum. If the stock fails to hold above $218.42, those puts could ignite.

News Flow: Policy Wins vs Margin Pressures

AbbVie’s tariff-exemption deal with the Trump administration is a double-edged sword. On one hand, the $100B US investment pledge and Arizona manufacturing expansion signal long-term stability. On the other, price cuts on Humira and Synthroid might weigh on near-term margins. The recent PD-1xVEGF licensing deal ($650M upfront) adds a bullish catalyst for its oncology pipeline, but investors will need patience—this trial is still in phase II. For now, the market seems to value the policy wins more than the margin risks, as evidenced by the call-heavy options positioning.

Trade Ideas: Play the $230 Call or Hedge with the $210 Put

For options traders: Buy ABBV20260116C230 (this Friday’s $230 call) if ABBV closes above $220.30 by expiration. The strike is 5.5% out of the money but sits at a key psychological level above the 30-day MA. Alternatively, buy ABBV20260116P210 to hedge against a drop below the Bollinger Band floor. For next Friday, consider a debit spread with ABBV20260123C225 and ABBV20260123P215 to capture a $10–$15 range.

For stock traders: Consider entry near $218.42 (lower Bollinger Band) with a first target at the broken support of $220.04. If the price holds, scale into long positions as it approaches the 30-day MA at $226.09. A breakdown below $215.85 invalidates the bullish case.

Volatility on the Horizon

The next 10 days will test AbbVie’s resolve. The options market is pricing in a 10–15% move by January 23rd, driven by both near-term policy outcomes and the biotech pipeline. While the news flow tilts positive, technical indicators warn against complacency. Lock in profits if ABBV breaks above $234.09 (upper Bollinger Band) or below $210 (put-heavy zone). This is a stock where fundamentals and sentiment are in a tight dance—watch both closely.