ABBV Options Signal Bullish Momentum: Key Strike Levels and Trade Setups for Q4 Gains

• ABBV’s current price of $234.11 shows a 0.75% intraday gain, with technical indicators (MACD, RSI) pointing to a short- and long-term bullish trend.
• Options data reveals heavy call open interest at $240 and $250 strikes for Friday expiration, while puts dominate at $190—hinting at a potential breakout or defensive play.
• AbbVie’s Q3 revenue rose 9.1%, driven by Skyrizi and Rinvoq, and its dividend hike to $1.73 per share reinforces its appeal to income investors.

Here’s the core insight: ABBV is primed for upside. The options market is pricing in a bullish bias, technicals align with a breakout above key resistance, and the company’s fundamentals—strong drug sales, patent protections, and a strategic pivot—support this narrative. But let’s dig into why this matters for your portfolio.

Bullish Sentiment in Options: Calls at $240 and Puts at $190 Tell a Story

The options chain for ABBV is a goldmine of insight. For Friday expiration, call open interest spikes at $240 (OI: 3,283) and $250 (OI: 2,753), while puts dominate at $190 (OI: 4,897). This isn’t random—it’s a signal. High call OI at $240 suggests investors are betting on a price push above the current level, especially with the 30D support/resistance zone at $231.95–$232.38 already holding. Meanwhile, the heavy put OI at $190 (a 15% downside from current price) indicates some hedging activity, but it’s not enough to tip the scales toward bearishness.

The block trade at ABBV20251017C230 (6,138 contracts, $705K turnover) adds intrigue. Buying a call at $230 implies the trader expects ABBV to stay above that level by October 17. Combine this with the MACD histogram (1.197) and RSI (54.77) suggesting momentum is building, and it’s clear: the market is pricing in a breakout.

Company News: Growth Drivers and Strategic Shifts Align with Bullish Bias

AbbVie’s Q3 results are a masterclass in resilience. Revenue hit $15.8B, with Skyrizi and Rinvoq combining for $6.9B in sales—a 40% YoY jump. Analysts project these drugs could hit $31B by 2027, and patent protections for Rinvoq until 2037 give the company a long runway. The dividend hike to $1.73 (3.6% increase) also sweetens the deal for income investors, with a 3.1% yield outpacing the S&P 500 average.

But it’s not all smooth sailing. The termination of the Calico partnership and layoffs in small-molecule R&D signal a pivot toward injectables and genetic therapies. While this streamlines operations, it also means AbbVie is betting big on high-margin products. The recent Lupron Depot approval for advanced prostate cancer is a win, but competition from biotechs like BeOne could nibble at market share over time. Still, the news flow is overwhelmingly positive, and the options market is pricing in confidence.

Actionable Trade Ideas: Calls at $235, Puts at $210, and a Core Buy Setup

For options traders, the ABBV20251017C235 call (OI: 805) is a standout. If ABBV breaks above $235 (its intraday high), this strike could see explosive gains by Friday. For a longer-term play, the ABBV20251024C237.5 (OI: 694) offers a tighter risk/reward if the stock consolidates near current levels. Both contracts are positioned to capitalize on a breakout above the 30D moving average ($226.58) and Bollinger Band middle ($224.99).

Bearish players might eye the ABBV20251017P210 put (OI: 2,012) as a hedge. If ABBV dips below $224.99 (middle Bollinger Band), this strike could offer downside protection. But given the technicals and news flow, I’d lean bullish.

For stock traders, the key entry point is $232.36 (previous close). If the stock holds above this level, consider buying on a pullback to $231.95 (lower end of 30D support). A breakout above $235.35 (intraday high) would target $240–$245, where the heavy call OI resides. A stop-loss below $224.99 would protect against a surprise selloff.

Volatility on the Horizon: Positioning for Q4 Moves

The next few weeks will test ABBV’s resolve. With Skyrizi and Rinvoq driving growth and the dividend story intact, the stock has momentum on its side. But keep an eye on the $190 put-heavy zone—it could act as a psychological floor if the market gets spooked by broader sector headwinds or BeOne’s competitive moves.

In short: ABBV is set up for a bullish breakout. The options data, technicals, and fundamentals all point to a stock primed to push higher. For traders, this means buying calls at $235–$240 and holding for a Q4 rally. For investors, it’s a chance to lock in a dividend king with a strong growth story. Just don’t ignore the $190 puts—they’re a reminder that no trade is without risk.