BRK.B at a Crossroads: Put/Call Imbalance and Whale Moves Signal Key Support Battle at $495–$505

• BRK.B trades at $496.47, hovering near its 200-day moving average ($498.20) and key support/resistance clusters.
• Put/call open interest ratio of 0.6 shows bullish bias, but massive block trades in OTM puts ($495–$520) hint at hidden bearish bets.
• Options data suggests a high-stakes contest between $495 (psychological support) and $505 (call-heavy resistance) this week.

Here’s the thing: BRK.B isn’t just trading—it’s fighting. The options market is locked in a tug-of-war between bulls eyeing a rebound and bears hedging a breakdown. Let’s break down what’s really happening.

The Options Chessboard: Puts vs. Calls and Whale Moves

The options chain tells a story of divided loyalties. For Friday’s expirations, put open interest peaks at $492.5 (OI: 2,429) and calls surge at $500 (OI: 1,718). But the real drama is in next Friday’s contracts: $495 puts (OI: 6,529) and $500 calls (OI: 5,486) dominate, creating a tight corridor of pressure. This isn’t random—block trades like BRKB20250919P525 (440 contracts traded at $1.4M+) suggest big players are hedging a potential drop below $495. Think of it like a football game: the offense (calls) has momentum, but the defense (puts) is digging in at the 10-yard line.

News That Could Tip the Scales

Warren Buffett’s recent moves are fuel for the fire. His Apple stake reduction and Kraft Heinz criticism have rattled investors, but his $1.3B UnitedHealth bet and Greg Abel’s succession plan signal long-term stability. The healthcare play could buoy BRK.B’s intrinsic value, but regulatory risks in energy/rail operations (BNSF) add friction. Here’s the catch: if Buffett’s bearishness on tech spreads, it could weigh on BRK.B’s broader portfolio. But Abel’s appointment as CEO? That’s a green flag for continuity.

Actionable Trades: Where to Play the Battle

For options traders, the most compelling setup is BRKB20251219P495 (next Friday’s $495 put). With 6,529 contracts open, this strike acts as a gravity well—if BRK.B breaks below $495, the put could gain steam. Conversely, BRKB20251219C500 (next Friday’s $500 call) offers a bullish counterplay if the stock rebounds above its 30D MA ($499.19). For stock players, consider buying near $495 (support level) with a stop just below $494.50. If it holds, target $504.66 (200D resistance). A breakdown below $491.04 (lower Bollinger Band) would justify shorting with a tight stop at $492.50.

Volatility on the Horizon

BRK.B is dancing on a tightrope. The options data and block trades scream range-bound volatility for now, but the $495–$505 corridor is a pressure valve. If Buffett’s healthcare bets pay off and Abel’s leadership smooths transitions, the stock could rally to $510. But if regulatory headwinds in energy or tech pessimism intensify, the puts at $495 will become a lifeline. Either way, this week’s options expirations (Dec 19) could be the catalyst that breaks the stalemate—or cements BRK.B’s sideways drift.

Bottom line: BRK.B isn’t a one-way bet. It’s a chess match. Play the board, not the noise.