Amazon (AMZN) Options Signal Bullish Bias: Key Call Strikes and Block Trades Point to $240+ Upside Potential

• AMZN’s price dropped 1.47% to $228.96, trading below its 30D MA of $233.56 but above the 200D MA of $214.75.

• Options data shows heavy call open interest at $240–$250 strikes (expiring this Friday) and a 0.69 put/call ratio (bullish skew).

• Block trades like AMZN20251121P240 ($1.35M turnover) and AMZN20260116C250 ($480K buy) hint at strategic positioning.

The big picture? AMZN’s options and technicals are painting a clear picture: traders are betting on a rebound above $240, with AI-driven growth and institutional upgrades fueling optimism. Let’s break it down.Bullish Call OI and Block Trades Signal $240+ Target

AMZN’s options chain is skewed bullish. This Friday’s top call strikes ($240, $245, $250) have combined open interest of 77,186 contracts—nearly double the top puts ($225, $220). The 0.69 put/call ratio (for open interest) confirms this bias.

But it’s not just retail traders jumping in. The AMZN20251121P240 block trade ($1.35M turnover) suggests institutional hedging ahead of the $240 level. Meanwhile, the AMZN20260116C250 buy block ($480K) shows long-term bullish positioning.

Risk? If AMZN fails to hold above $221.06 (200D support), the $220–$225 put strikes could see a surge in activity. But for now, the data leans heavily on the upside.News Flow: AI and Earnings Fuel Long-Term Optimism

Amazon’s recent AI announcements—like the Trainium3 chip—position it to challenge NVIDIA in the cloud infrastructure race. Analysts are upgrading price targets (Loop Capital to $360), and Q3 earnings beat estimates by 24% ($1.95 EPS).

However, the stock’s 9% pullback since Trainium3’s launch has created a buying opportunity. Institutional investors are piling in (Sustainable Insight Capital up 18%), while JPMorgan’s 5.55% reduction in holdings is a minor red flag.

Actionable Trade Ideas for AMZNOptions Play: Buy AMZN20251212C240 (next Friday’s $240 call) if AMZN breaks above $233.55 (30D MA). Target: $240.50 (Bollinger Upper Band). Stop-loss: $230.Stock Play: Enter long near $228.64 (intraday low) with a target at $240. Use $221.06 (200D support) as a hard stop.Bearish Hedge: Sell AMZN20251212P220 (next Friday’s $220 put) if AMZN dips below $228.64.Volatility on the Horizon

AMZN’s 30D RSI at 37.6 suggests oversold conditions, but the MACD histogram (-0.051) warns of short-term bearish momentum. The key is watching the $233.55–$235 range. A break above $235 could trigger a rally toward $250, while a drop below $221.06 would test the 200D support.

Bottom line: AMZN’s options and fundamentals are aligned for a bullish rebound. The $240–$250 call strikes and AI-driven growth make this a high-conviction trade. But keep an eye on the 200D MA—it’s the last line of defense before the bear case takes hold.