Meta (META) Options Signal Bullish Bias at $700 Strike: Here’s How to Position for Volatility

• Meta’s Q3 revenue hit $35.6B, beating estimates, but faces $2B EU fine and data privacy scrutiny.
• Options data shows 70% of open interest is in calls, with heavy concentration at the $700 strike for next Friday.
• Block trades reveal large institutional selling of calls at $770 and $780, hinting at profit-taking or hedging.
• Stock price near 30D support at $611 and 200D resistance at $747, creating a tight trading range.

Here’s the takeaway: Meta’s options market is leaning bullish, but technicals and news paint a mixed picture. If you’re trading this name today, the key is balancing optimism about AI-driven growth with caution around regulatory risks. The stock’s -0.18% intraday dip masks a deeper tug-of-war between short-term bearish momentum and long-term range-bound positioning. Let’s break it down.

Bullish Calls Dominate, But Puts Signal Hidden Caution

The options chain tells a story of divided priorities. For Friday’s expiry, calls at $690 ($OI: 13,270) and $700 ($OI: 8,883) dominate, while puts at $630 ($OI: 7,503) and $600 ($OI: 4,791) show defensive positioning. But the real drama unfolds next week: the $700 call ($OI: 18,395) and $1,000 call ($OI: 15,053) suggest big players are betting on a breakout. The put/call ratio of 0.58 (calls > puts) reinforces this bias, though the $600 put ($OI: 13,202) acts as a safety net for downside risks.

Block trades add intrigue. A $2.37M sale of 400 contracts at META20260116C770 (expiring Jan 16, 2026) hints at long-term bullish bets. Meanwhile, large sell calls at $780 and $800 (expiring Nov 21) suggest hedging by existing holders. This mix of optimism and caution? Classic pre-earnings playbook.

News Flow: AI Wins vs. Regulatory Headwinds

Meta’s recent headlines are a mixed bag. The $35.6B revenue beat and $20B buyback are tailwinds, as are the AI ad platform and Microsoft partnership. But the EU fine and data privacy investigations cast a shadow. Retail investors love the stock split and Africa expansion, but institutional players are wary of antitrust risks. The key question: Will the market prioritize AI growth stories or regulatory red flags? Right now, options data leans toward the former, but don’t ignore the latter.

Actionable Trade Ideas: Calls, Puts, and Precision Entries

For options traders, the META20251219C700 call (next Friday expiry) is a standout. If META breaks above its 200D MA ($671) and holds the intraday high of $655.28, this strike offers leverage on a potential 8% move to $700. For downside protection, the META20251219P600 put could cap losses if the stock dips below the 30D support ($611). Both strikes align with Bollinger Band extremes (upper: $682.93, lower: $573.97), giving you clear boundaries to work with.

Stock traders should watch two levels:

• Entry near $611 (30D support) if RSI (70.9) corrects into oversold territory. Target $640–$650 on a rebound.
• Entry near $655 (intraday high) if MACD (-0.62) crosses above the signal line (-8.13). Target $680–$700 if the 200D MA breaks.

Volatility on the Horizon

Meta’s next move hinges on two factors: the FTC/EU investigation outcomes (mid-December) and Q4 earnings (Jan 2026). The options market is already pricing in a 15% move by Jan 16, thanks to the $700–$1,000 call frenzy. If you’re bullish, lock in the META20260116C770 block trade-level call for a long-term play. If you’re bearish, the $600 put offers a cheap insurance policy. Either way, this stock isn’t going to sleepwalk into 2026—volatility is the only certainty.