Alphabet (GOOGL) Options Signal $290 Put Defense and $335 Call Breakout Potential: Here’s How to Play the Volatility

• GOOGL trades at $299.76, up 1.02% from $296.72, but faces a bearish engulfing pattern and RSI near oversold (28.27)
• Put/call open interest ratio at 0.81 suggests bullish bias, with heavy call OI at $335 and put OI at $290
• Block trades show $260 call bought ahead of Friday expiry, while $240 puts hint at macro hedging

The market is torn between fear and faith in GOOGL. On one hand, a $10B data center snub and EU antitrust risks weigh on sentiment. On the other, options data and long-term moving averages (30D at $302.59) suggest a bullish undercurrent. Let’s break down where the real opportunities—and risks—lie.The $290 Put Wall and $335 Call Rally: What Options Are Whispering

Put open interest is piling up at $290 (22,351 contracts), a level that could act as a psychological floor if the stock dips. This isn’t just retail panic—it’s institutional hedging. Meanwhile, call OI peaks at $335 (24,354 contracts), where bulls are betting on a breakout. The bearish engulfing candle and RSI near 28 hint at a short-term rebound, but the 200D MA at $210.87 still looms as a long-term anchor.

Don’t ignore the block trades. A 1,000-lot $260 call (GOOGL20251219C260) was bought ahead of Friday’s expiry, signaling confidence in a near-term rebound. Conversely, two $240 put trades (GOOGL20260116P240) with 2,550 total contracts suggest macro hedges for a deeper pullback. These moves hint at a tug-of-war between short-term optimists and long-term cautious players.

News vs. Options: The EU Drama and Earnings Optimism

The EU antitrust probe and data center financing issues are real, but they’re amplifying a broader tech-sector rotation. GOOGL’s forward P/E of 29.15 is rich, but 2026 Zacks estimates ($10.52 EPS, $345.69B revenue) justify the premium. The market’s overreaction creates a buying opportunity—if the stock holds key support at $284.88 (30D support level).

Here’s the catch: The $290 put wall could absorb a dip, but a break below $283.93 would trigger a freefall toward the 200D MA. Conversely, a close above $302.59 (30D MA) could reignite bullish momentum. The options data and fundamentals aren’t aligned—yet. That dissonance is where the edge lies.

Trade Ideas: Protect the Downside, Ride the Breakout

For options traders, the GOOGL20251219P290 put offers downside insurance if the EU drama escalates. Buy it for $X.XX (strike price $290) with a target to sell at $X.XX if the stock holds. On the upside, the GOOGL20251219C335 call is a high-risk/high-reward play—only if the stock breaks above $302.59 and volume surges.

Stock traders: Consider entry near $284.88 (30D support) with a stop below $283.93. If the stock rallies, target $302.59 as a first exit. For the bold, a short near $290 (if the put wall fails) with a target at $280 could work, but only if the 30D MA breaks.

Volatility on the Horizon: Balancing Risk and Reward

The next 72 hours will test GOOGL’s resolve. A rebound above $302.59 could validate the long-term bullish case, while a break below $290 would force a reevaluation of the EU risks. The block trades and options data suggest a volatile but range-bound battle—until earnings or regulatory news shifts the script. Stay nimble, and let the data guide your next move.