AMD Options Signal Bullish Momentum: Key Strike Levels and Block Trades Point to Aggressive Call Buying

• AMD surges 1.2% to $256.02, trading above its 30D, 100D, and 200D moving averages
• RSI near overbought territory (70.13) while MACD (19.25) shows strong bullish momentum
• Put/Call open interest ratio at 0.93 suggests slight bearish bias, but call OI dominates at key strikes

The options market is whispering a story of aggressive bullish positioning. With AMD’s price breaking above its 30-day moving average and call open interest surging at strikes like $275 and $300, the data points to a stock primed for a breakout—or a potential overbought correction. Let’s break down what the numbers really mean.Bullish Imbalance in OTM Calls, Bearish Puts at Extreme Strikes

AMD’s options chain tells a clear tale: traders are betting big on the upside. This Friday’s expiring options show the highest call open interest at $260 ($OI: 12,525), $265 ($OI: 11,749), and $275 ($OI: 9,666), while puts dominate at extreme strikes like $150 ($OI: 15,142) and $220 ($OI: 7,402). The skew toward OTM calls suggests institutional players are hedging for a rally—or speculating on a breakout above $258.47, today’s intraday high.

But here’s the catch: the put/call open interest ratio (0.93) hints at a slight bearish undercurrent. While calls dominate, the heavy put OI at $200–$220 for next Friday’s expirations ($OI: 2,180–2,991) shows some hedging activity. This isn’t a bearish signal per se—it’s more about risk management. Think of it like a storm: the calls are the thunder, and the puts are the lightning.

Block Trades Add Fuel to the Fire

Three notable block trades stand out. The largest, a $165 call (AMD20251017C165) with 1,500 contracts traded, suggests big players are locking in upside potential ahead of October 17. Meanwhile, a $155 put (AMD20250919P155) bought for 1,600 contracts signals a bearish hedge, but the sheer size of call block trades (like the $165 call bought for 1,500 contracts) tips the scales toward bullish conviction.

No Major News, But Options Tell the Story

AMD’s news feed is quiet, which means fundamentals aren’t driving this move. No earnings reports, product launches, or sector shifts to point to—just pure market sentiment. That’s both a risk and an opportunity. Without news to anchor the price, options data becomes the compass. The heavy call buying suggests traders are pricing in broader tech-sector optimism or macroeconomic bets (like a dovish Fed). But without a catalyst, this rally could fizzle if RSI (70.13) corrects toward neutral territory.

Actionable Trade Ideas: Calls for Aggressives, Stock for Position Traders

For options traders, the AMD20250920C275 (expiring this Friday) and AMD20250927C300 (next Friday) are prime candidates. The $275 call has 9,666 open contracts, indicating strong liquidity and a price target in focus. If AMD breaks above $258.47, this strike could see rapid premium gains. The $300 call, while riskier, offers 10:1 leverage if the stock surges past $275—a scenario supported by the MACD’s bullish divergence.

For stock traders, consider entry near $250 if the 30-day support level (159.30–161.21) holds. A breakout above $258.47 would validate the short-term bullish trend, with price targets at $275 (Bollinger Upper Band) and $280 (key call strike). Stop-loss placement below $249.80 (intraday low) would protect against a breakdown in momentum.

Volatility on the Horizon: Positioning for AMD’s Next Move

AMD isn’t just riding a technical wave—it’s being pushed by a coordinated options-driven narrative. The combination of heavy call OI, bullish momentum indicators, and block trades suggests a stock on the cusp of a breakout. But overbought conditions (RSI >70) mean a pullback isn’t out of the question. Traders should balance aggression with caution: use the $275 call for short-term gains, but keep an eye on the $250 support level as a floor. If AMD holds there, the long-term bullish trend (200D MA at $135.91) remains intact. This is a stock with momentum—and momentum, like a freight train, can be unstoppable… or derail if the tracks crack.