Amazon (AMZN) Options Signal Bullish Bias: Key Call OI at $250 and $240 Suggest Breakout Potential Amid Cloud Expansion

• AMZN trades at $237.89, down 0.12% but above 30D SMA of $232.50
• Options data shows 0.73 put/call OI ratio, with heavy call interest at $250 and $240 strikes
• Block trades reveal $750k+ in June 2026 $250 puts/calls, hinting at long-term positioning

Here’s the takeaway: AMZN’s options market is whispering bullishness. While the stock dips slightly today, the technicals and options flow suggest a short-term rebound could be brewing. Let’s break down why this could be a setup for traders.

Bullish OI Clusters and Whale Moves at $250 Strike

The options chain tells a story of cautious optimism. For this Friday’s expiring calls, the $250 strike leads with 54,046 open contracts—nearly double the $240 strike’s 34,689. Puts are skewed lower, with heavy OI at $190 and $230. This imbalance (0.73 put/call ratio) suggests investors are pricing in a near-term rally.

But the real intrigue lies in the block trades. A $1.87M sale of June 2026 $250 puts (AMZN20260618P250) and a $1.3M buy of same-strike calls (AMZN20260618C250) signal big players hedging or accumulating. These June contracts expire just before AWS’s European Sovereign Cloud launch, which could drive earnings momentum.

Cloud Deals and Earnings Fuel Bullish Sentiment

AMZN’s Q3 beat ($1.95/share vs. $1.57 est) and $38B OpenAI deal reinforce its AI infrastructure edge. The AWS European Sovereign Cloud expansion targets high-margin government contracts—a $50B+ market. Yet the Saks bankruptcy dispute and Italian antitrust battles add noise.

Here’s the twist: Institutional buyers (like Davis Capital’s $2.67M stake) are betting on AWS’s long-term growth. Retail traders might be underestimating how these cloud wins could offset short-term legal risks.

Actionable Trade Ideas for AMZN

For options traders:

• Buy AMZN20260123C240 (next Friday’s $240 call): With 10,903 OI and AMZN trading near $237.89, a break above $240 could trigger a rally toward $250. Target $245–$250 if the 200D SMA ($218.99) holds.
• Sell AMZN20260123P230 (next Friday’s $230 put): With 4,148 OI and support at $232.50 (30D SMA), downside risk seems limited unless the Saks dispute escalates.

For stock traders:

• Buy AMZN near $232.50 (30D SMA): If the stock holds above this level, target $245–$250. Use the $219.94 lower Bollinger Band as a hard stop.
• Short-term dip buyers: Consider entries between $236–$238, where the 52-week RSI (57.21) suggests oversold conditions are easing.

Volatility on the Horizon

The next 30 days will test AMZN’s resolve. The options market is pricing in a 12–15% move by January 23rd, driven by AWS’s European launch and OpenAI’s infrastructure needs. While the Saks legal drama adds friction, the broader narrative—cloud growth, AI infrastructure, and strong earnings—supports a bullish tilt.

Bottom line: This isn’t a "buy and forget" trade. But for active traders, AMZN’s options flow and technical setup offer a compelling case for a short-to-midterm rally. Keep an eye on the $240–$250 cluster—it might just be the spark the stock needs.