Amazon (AMZN) Options Signal Bullish Bias: Key Strike Levels and Trade Setups for Dec 5, 2025

• AMZN trades at $229.72, up 0.27% with volume surging to 18.1M shares.
• Call open interest dominates at $235–$250 strikes, while puts cluster at $215–$227.50.
• Motley Fool names AMZN a top 5-year hold; AWS AI push clashes with customer hesitancy.

The options market is whispering bullish optimism, but the price action isn’t screaming it yet. Let’s break down what the data says about AMZN’s near-term trajectory and how to position for it.Bullish Call Skew and Whale Moves: What’s Cooking at $235–$240?

The options chain tells a story of cautious optimism. For this Friday’s expirations, call open interest peaks at $235 (27,401 contracts) and $240 (27,554), while puts max out at $225 (11,026). The put/call ratio of 0.685 (calls > puts) reinforces a net bullish tilt. But here’s the twist: the block trade AMZN20260116C250 (buy call, 500 contracts at $480,000) hints at big money betting on a mid-January rally. Meanwhile, the AMZN20251121P240 block trade ($1.35M in puts) suggests hedging ahead of a Nov 21 expiry.

This isn’t just retail noise. The concentration of calls above $230 implies a potential breakout target—if AMZN can close above its intraday high of $231.24, the $235–$240 strikes could act as a gravity well for buyers. But don’t ignore the puts: $225 and $227.50 strikes are magnets for downside protection, especially with the 200D MA at $214.77 lurking below.

News vs. Options: Can AWS’s AI Push Justify the Bullish Bias?

Amazon’s recent headlines are a mixed bag. The Motley Fool’s 5-year endorsement and AWS’s AI re:Invent push align with the options data’s bullish slant. But the $209M Italy tax settlement and alleged overcharging in public procurement add friction. Here’s the rub: while AWS’s AI ambitions are grand, customer hesitation (per TechCrunch) means execution risks linger. Yet the data center wage boom and Europe’s fee cuts could offset some of that drag.

The options market isn’t pricing in a disaster—it’s pricing in a controlled rally. The block trades at $250 and $230 strikes suggest a belief that AMZN can navigate these headwinds while AWS’s long-term growth story holds.

Trade Setups: Calls for the Breakout, Puts for the Safety NetFor options traders:

• Buy AMZN20251212C235 (Dec 12 expiry) if AMZN breaks above $231.24. Target $235–$240, with a stop below $228.72.
• Sell AMZN20251212P225 (Dec 12 expiry) as a credit spread if you’re bullish but cautious.

For stock traders:

• Enter near $229.67 (resistance level) with a target at $235. Use the 30D support at $228.94 as a hard stop.
• Alternatively, buy the dip if AMZN dips to the 200D MA at $221.06—this could trigger a rebound as short-term buyers step in.

Volatility on the Horizon: Balancing Optimism and Caution

AMZN isn’t in a freefall, but it’s not sprinting either. The RSI at 40.45 suggests oversold territory, yet the MACD histogram (-0.186) warns momentum is waning. The key is timing: if the price holds above the 30D MA ($233.93), the bullish case strengthens. But if it slips below $228.72 (intraday low), watch for a test of the 200D MA.

The options market is pricing in a measured rally, not a breakout. That means your edge lies in positioning for a $230–$240 range with tight stops. And if the block traders are right? The $250 calls could be a fireworks show by January.

Bottom line: AMZN’s options and news flow point to a stock poised for a cautious climb. Play it smart—use the calls to capitalize on a potential breakout, and the puts to hedge if the AI hype falters. The market isn’t betting on a crash, but it’s not ignoring the risks either.