KO Options Signal Bullish Momentum: Key Strikes and Trade Setups for Feb 6, 2026

• KO trades at $78.58, up 0.08% with volume surging to 10.4M shares
• Options call open interest dominates (399K vs. 291K puts), with heavy concentration at $79–$80 calls
• RSI near overbought territory (90.11) and MACD bullish divergence suggest short-term upside

Here’s the deal: KO’s options market is whispering bullishness, but technicals hint at a potential overbought correction. Let’s break down what traders should watch today.

Bullish Pressure at $79–$80, But Puts Tell a Cautious Tale

Options traders are piling into out-of-the-money calls at $79 (OI: 2,027) and $80 (OI: 1,620) for Friday’s expiration. That’s not random—it’s a vote of confidence in KO breaking above its intraday high of $79.05. But don’t ignore the puts: $72 (OI: 3,828) and $77 (OI: 3,019) puts show heavy downside protection, suggesting some hedgers are bracing for a pullback. The block trade of 2,500 puts at KO20260320P77.5 adds intrigue—someone’s hedging a March position, possibly signaling bearish whispers for longer-term moves.

News Flow: Strategic Shifts and Valuation Debate

Coca-Cola’s recent headlines are a mixed bag. The 52-week high and strategic exit from frozen juice lines signal portfolio modernization, but valuation debates linger. Analysts split between $67.50 (AllTrades fair value) and $91.33 (DCF model). The CEO transition and RBC’s in-line Q4 forecast add stability, but the overbought RSI means volatility could spike if earnings miss expectations. Retailers might be betting on the dividend hike (64th consecutive year!) to prop up demand, but citrus prices and sugar costs remain wild cards.

Actionable Trade Ideas: Calls for the Bold, Puts for the Pragmatic

For options traders:

• Bullish play: Buy KO20260213C79 (Friday expiry) if KO breaks $79.05. Target $81.50 (Bollinger Band upper end) with a stop below $78.26 (intraday low).
• Bearish hedge: KO20260213P77 (Friday expiry) if price dips to 100D MA ($69.88). Exit at $70.39 (30D support).

For stock traders:

• Entry near $78.26 (intraday low) if RSI corrects below 80. Target $79.50 (Bollinger Band upper) or $81.50 (MACD target).
• Stop-loss at $77.85 (lower Bollinger Band) to protect against a breakdown.

Volatility on the Horizon: Balancing Bullish Momentum and Overbought Risks

KO’s short-term outlook is bullish, but the RSI near 90 screams caution. The key is timing—break above $79.05 and the 30D MA ($71.68) could become a floor for a rally. But if the RSI cracks 60, watch for a test of $77.85. The block trade at KO20260320P77.5 hints at bearish positioning for March, so keep an eye on Q4 earnings (February report) and dividend announcements. This is a stock dancing on the edge of a breakout—trade with precision, not bravado.