Alphabet (GOOG) Options Signal Bullish Bias: Key Strike Levels and Trade Setups for Dec 5 Expiry

• GOOG down 1.1% at $317.09, trading below its 30D support of $283.81
• Call OI dominates at $325–$340 strikes; put OI peaks at $315
• Block trades show heavy call buying at $235–$260 strikes ahead of Sept/Oct expiries

Here’s the thing: GOOG’s options market is screaming bullish despite today’s dip. Call open interest (OI) is 30% higher than puts, with heavy concentration at $325–$340 strikes. That’s not just noise—it’s a vote of confidence in a rebound above $320. Let’s break down why this matters for your strategy.

Bullish Pressure at $325–$340, But Watch the $315 Floor

Take a look at this Friday’s options: 8,069 contracts at the $325 call and 8,642 puts at $315. That’s a tight battle between bulls targeting a rebound and bears hedging a drop. The histogram shows MACD divergence—price is falling, but momentum is slowing. If the $315.6 intraday low holds, this could be a classic short-term bounce setup.

But don’t ignore the block trades. The GOOG20250919C235 and GOOG20251003C250 contracts show big players bought calls at $235–$260 strikes months ago. Why? They’re likely hedging long-term stock holdings or betting on AI/cloud-driven gains. These trades suggest patience—this isn’t a quick scalp, it’s a setup for a multi-week move.

News Flow: AI Wins Outweigh Legal Risks for Now

Alphabet’s AI dominance (Gemini 3, TPUs) and cloud growth (34% YoY) are fueling this rally. Anthropic and Meta buying TPUs? That’s a $100B+ revenue tailwind. But the antitrust case and Pichai’s $9.6M stock sale add friction. Here’s the key: options traders are pricing in AI optimism despite the headlines. The $315 put OI suggests they’re not ignoring risks, but the call skew shows conviction.

Trade Ideas: Calls for Dec 5, Stock for the Long Haul

• Options Play: Buy the GOOG20251205C325 (Dec 5 $325 call). Why? High OI + it’s just $7.91 below current price. If GOOG holds $315 and closes above $323.09 (today’s high), this call could pop. For a longer setup, the GOOG20251212C330 (Dec 12 $330 call) offers leverage if AI news keeps flowing.
• Stock Play: Consider entry near $315.60 (intraday low) if it holds. Target $323.09–$325.00. Stop below $310. Use the 30D support ($283.81) as a final guardrail.

Volatility on the Horizon

This isn’t a one-way bet. The RSI at 71.16 hints overbought territory, and the 200D MA at $205.16 is a long-term floor. But with Berkshire’s $4.3B stake and AI deals heating up, the bulls have ammo. My read? Treat $315 as a short-term pivot—break below it, and re-evaluate. Stay above? This could be the start of a $340+ run.

Bottom line: GOOG’s options and fundamentals are aligned for a rebound. Play it with calls at $325–$330 or stock near $315, but keep an eye on that $315–$310 range. This stock isn’t done moving.