Alphabet (GOOGL) Options Signal Bullish Bias: Key Strikes and Block Trades Point to Strategic Entry Zones

• Current price: $313.095, down 0.2% from previous close but trading near 52-week high.
• Options market shows 25% more open interest in calls than puts, with heavy call volume at $325–$335 strikes.
• Block trades reveal $1.35M call purchase at $260 strike (Dec 19 expiry) and $720K put buy at $235 (Mar 20 expiry).

Here’s the core insight: Alphabet’s options activity and technicals suggest a high-probability bullish setup, with institutional players hedging downside risks while positioning for a potential AI-driven breakout. The stock’s long-term trend remains intact, but short-term volatility from regulatory concerns could create strategic entry points.

Bullish Pressure in Options, But Caution on the Puts

The options chain tells a clear story. For this Friday’s expiry, calls at $325 ($15,341 OI) and $330 ($15,021 OI) dominate, while puts at $290 ($11,580 OI) and $300 ($10,907 OI) show defensive positioning. Next Friday’s data amplifies this: calls at $335 ($24,151 OI) and $340 ($15,782 OI) suggest big money is pricing in a $330+ move. The put/call ratio of 0.79 (favoring calls) reinforces this bullish tilt.

But don’t ignore the puts. The $310 strike ($24,544 OI) and $290 ($20,376 OI) next Friday options hint at potential support zones. Block trades like GOOGL20251219C260 (1,000 contracts bought for $1.35M) and GOOGL20260320P235 ($720K put purchase) suggest smart money is hedging against a near-term dip while betting on a longer-term rebound.

News Flow: AI Momentum vs. EU Risks

Alphabet’s recent news is a mixed bag. The $15.2B Google Cloud win with NATO and Gemini 3 AI model outperforming rivals are massive tailwinds. But the EU’s antitrust probe—threatening up to 10% revenue fines—adds a cloud over long-term growth. This duality explains the options activity: traders are pricing in AI-driven optimism while hedging regulatory risks.

Institutional investors are split too. West Family’s 52.8% position increase contrasts with CEO and CFO share sales. The market is essentially pricing in a “best of both worlds” scenario: short-term AI hype driving the stock higher, while regulatory risks keep the puts active.

Actionable Trade Ideas: Calls for Aggressive, Puts for Cautious

For options traders, the most compelling setup is the GOOGL20251219C325 call (expiring Dec 19). With the stock trading at $313.095, a break above today’s intraday high of $313.94 could trigger a rally toward $325. This strike offers leverage if the stock holds its 30-day support at $284.26.

Stock traders should consider entries near $302.97 (middle Bollinger Band) with a target at $325. If the stock dips to the 200-day support zone ($162.57–$166.15), that would be a high-risk/high-reward entry. For downside protection, the GOOGL20251219P310 put (Dec 19 expiry) offers a safety net if the EU antitrust fears escalate.Volatility on the Horizon

The coming weeks will test Alphabet’s momentum. A positive outcome on the NATO cloud contract or a major Gemini 3 partnership could push the stock toward $335. Conversely, a negative EU ruling might trigger a test of the $269.47 lower Bollinger Band. Either way, the options market is already pricing in a volatile finish. The key takeaway? Position for the AI-driven rally, but keep a put hedge active for the unexpected.