Alphabet (GOOGL) Options Signal $350 Bullish Bias: Here’s How to Position for AI-Driven Momentum

• GOOGL surges 1.47% to $336.74, hitting a 52-week high of $340.48 amid AI partnership buzz.
• Options market shows 0.83 put/call open interest ratio, with heavy call OI at $350 and $340 strikes.
• Analysts raise price targets to $370 as Alphabet joins the $4 trillion club post-Apple deal.

Here’s the takeaway: Alphabet’s options activity and technicals are screaming upside potential. The stock is perched above key moving averages, RSI is near overbought territory, and options traders are piling into calls at $350. But with block trades hinting at long-term positioning, this isn’t just a short-term pop—it’s a setup for a sustained AI-driven rally. Let’s break it down.

Bullish OI at $350 and Block Trades Signal Institutional Confidence

The options chain tells a clear story. For this Friday’s expiration, GOOGL20260116C350 and GOOGL20260116C340 calls dominate open interest, with 31,877 and 13,225 contracts respectively. That’s not random—it’s a vote of confidence. Traders are betting the stock will clear $340 (a level it just touched) and aim for $350. Meanwhile, the next Friday’s options show similar heat at GOOGL20260123C345 and GOOGL20260123C350, suggesting the bullish momentum isn’t fading.

But here’s the twist: the block trades in March 2026 options—like GOOGL20260320C330 and GOOGL20260320P310—hint at longer-term positioning. Big players are hedging or locking in exposure for months ahead. That’s a red flag for retail traders to stay bullish but cautious—volatility could spike if the stock stumbles near key support.

Apple AI Deal and $4 Trillion Valuation Fuel the Narrative

Alphabet’s recent news isn’t just noise. The Apple partnership—making Gemini the brain behind Siri—is a game-changer. Analysts at BofA and JPMorgan aren’t just raising price targets; they’re calling it a “strategic win” that could unlock billions in AI licensing revenue. And let’s not forget: Alphabet just became the fourth company to hit $4 trillion in valuation. That’s not just a number—it’s a stamp of approval from the market.

But here’s the catch: the stock’s 65% surge in 2025 has left it with a 88 RSI. That’s overbought territory. If the AI hype cools or earnings miss, the puts at $300 and $260 could get a rush of buyers. Yet, with analysts still calling GOOGL undervalued (average PT: $339.15), the downside risks feel more like a breather than a crash.

Actionable Trades: Calls for the Bold, Puts for the Pragmatic

For the aggressive: Buy GOOGL20260123C345 (next Friday’s $345 call). The stock needs to hold above $333.62 (today’s low) to justify this bet. If it breaks $340, this call could double. Exit at $345 or hold for a push toward $350.

For the cautious: Buy GOOGL20260123P300 to hedge against a pullback. The 200-day support at $249.51 is a long way off, but a dip near $320 would make this put valuable. Pair it with a core stock position.

Stock traders: Consider entry near $333.62 if the 30-day support at $312.88 holds. Target $345 (resistance) or $350 (call-heavy zone). Stop below $330 to cut losses.

Volatility on the Horizon: Ride the AI Wave

Alphabet isn’t just a stock—it’s a bellwether for the AI revolution. With block trades hinting at long-term bets and options pricing in a $350 target, the next few weeks could be a rollercoaster. The key is to balance aggression with caution: let the calls chase the AI dream, but keep puts handy for the inevitable dips. After all, this isn’t just about hitting $350—it’s about riding a $4 trillion story that’s just getting started.