Alphabet (GOOGL) Options Signal Bullish Breakout Potential: Key $320 Call OI and Block Trades Highlight Upside Catalysts

• Current price: $314.08 (+1.39% from $309.78 close)
• Put/Call OI ratio: 0.79 (calls dominate, especially at $320 strike)
• Block trades show $2.5M put and $1.35M call buying ahead of 2026-01-16 expiry

Here’s the big picture: GOOGL is perched at a technical sweet spot with options data screaming for a bullish breakout. The stock’s 1.39% intraday gain, combined with a 4.29 MACD and oversold RSI (44.98), suggests a short-term rally is gaining steam. But what really grabs attention is the options market’s focus on the $320 level—a strike with 8,192 open interest this Friday and 5,485 next Friday. This isn’t just noise; it’s a vote of confidence from institutional players.

Bullish OI Clusters and Whale Moves

Let’s start with the options chain. The top OTM calls for this Friday are stacked at $320 (8,192 OI), $315 (7,802 OI), and $330 (4,300 OI), while puts trail at $290 (6,317 OI) and $300 (6,145 OI). The 0.79 put/call OI ratio tells us buyers are leaning heavily into upside potential. But the real story is in the block trades: a $2.5M put block (GOOGL20260116P240) and a $1.35M call purchase (GOOGL20251219C260) signal big players hedging or scaling up ahead of key expiries. These moves hint at a possible $320+ price target by early January.

News That Fuels the Fire

Alphabet’s $4.75B Intersect acquisition isn’t just a headline—it’s a strategic play to solve energy bottlenecks for AI-driven data centers. This ties directly to the stock’s fundamentals. The deal accelerates Alphabet’s control over power generation near its infrastructure, reducing reliance on strained grids. Combine that with Q3’s 16% revenue surge and $34.9B profits, and you’ve got a company firing on all cylinders. The lobbying push for the SPEED Act? That’s about cutting red tape for energy projects, which could supercharge long-term growth. Investor sentiment is clearly aligning with the options data—this isn’t a temporary pop.

Actionable Trade Ideas

For options traders, the GOOGL20260102C320 call (next Friday expiry) is a prime candidate. With 5,485 OI and the stock trading at $314.08, a break above $320 could trigger a cascade of stop-loss buying. Pair it with a diagonal spread using the GOOGL20260320C270 block trade (1,000 contracts bought) to lock in volatility. For stock buyers, consider entries near $313.75 (middle Bollinger Band) with a target at $320 (first resistance) and $327.83 (upper band). A stop below $309.625 (today’s open) would flip the script.

Volatility on the Horizon

The coming weeks will test GOOGL’s resolve. A close above $320 could validate the bullish case, while a pullback to the 200D MA ($212.87) would be catastrophic. But given the options flow, block trades, and news catalysts, the odds favor a breakout. Keep an eye on the RSI—once it crosses 50, the rally could accelerate. This isn’t a high-risk gamble; it’s a calculated play on a company building its own future, one megawatt at a time.