Meta (META) Options Signal Bullish Momentum: Calls at $700–$750 Dominate as AI Delays Loom—Here’s How to Play the Breakout

• Meta’s options market is loaded with bullish energy: 17,493 open contracts at the $700 call and 14,619 at $750 ahead of Friday’s expiry.
• The put/call ratio sits at 0.60, showing clear skew toward upside bets, but watch the $600–$620 put zone for potential volatility triggers.
• A $2.37M block trade on the META20260116C770 call hints at long-term conviction in AI-driven re-rating.

Meta’s stock is dancing on a tightrope right now. The price action—up 0.56% to $668.15—looks like a short-term bull trend, but the long-term chart shows it’s been range-bound for months. Meanwhile, the options market is screaming: "This is the week." With calls at $700–$750 dominating open interest and a put/call ratio skewed 60% to calls, the crowd is clearly pricing in a breakout. But here’s the twist: the AI news isn’t exactly clean. Delays, leadership drama, and a pivot to closed models? That’s a mixed bag. Let’s dig into what the numbers—and the whispers—really mean.

Bullish Calls at $700–$750 Signal Big Bets, But Puts at $600–$620 Warn of Volatility

The options chain is a goldmine of insight. For this Friday’s expiry, the top five OTM calls are all above $670, with the $700 strike leading at 17,493 open contracts. That’s not just noise—it’s a crowd betting Meta will punch through its 200-day MA ($671.11) and test the Bollinger Upper Band at $687.47. But don’t ignore the puts: 12,702 contracts at $600 and 10,308 at $620 suggest some hedging against a pullback. The key takeaway? The market is pricing for a sharp move higher, but not everyone’s ignoring the risks.

Then there’s that $2.37M block trade on the META20260116C770 call. A whale is betting Meta’s AI roadmap—however delayed—will eventually justify a $770 price tag. That’s a long-term play, but it adds fuel to the short-term bullish fire. If the stock breaks above $670, those calls could get a rush of liquidity.

AI Delays and Leadership Drama: Does It Matter?

Meta’s AI news is a double-edged sword. On one hand, the Trump AI executive order is a win for Big Tech, reducing regulatory chaos and potentially boosting Meta’s innovation runway. On the other, the company’s own roadmap is a mess: Mango and Avocado are delayed until H1 2026, and Alexandr Wang’s reported friction with Zuckerberg adds uncertainty. The market’s bullish options flow might be discounting the regulatory win while ignoring the execution risks. But here’s the thing: Meta’s user base is still a moat. Even if the AI models lag, the company’s ability to embed tools into Instagram and WhatsApp gives it a unique edge. Investors might be betting that the AI hype cycle will outpace the reality for now.

Actionable Trades: Calls for the Breakout, Puts for the Safety Net

If you’re bullish, the META20251219C700 call (expiring this Friday) is your best bet. With the stock trading at $668.15, a $700 call has intrinsic value and enough time to ride a breakout. For a longer play, the META20251226C700 (next Friday’s expiry) offers more time if the move is gradual. Both are high-liquidity strikes, so slippage should be minimal.

For downside protection, consider a bearish put spread: buy the META20251219P620 and sell the META20251219P600. The $620–$600 zone lines up with the 30D support level (646.45–648.14) and could catch a pullback if the AI narrative falters. And if you’re trading the stock, look to enter near $665–$667 (just below the 200-day MA) with a target at $687.47 (Bollinger Upper) and a stop at $659.62 (intraday low).

Volatility on the Horizon: Balancing Optimism and Caution

Meta’s story is a classic tug-of-war: AI optimism vs. execution delays, regulatory tailwinds vs. internal chaos. The options market is pricing for a short-term pop, but the fundamentals aren’t clean. If the stock breaks above $670, the $700–$750 call zone could see a cascade of profits-taking. But if it stumbles below $660, those puts at $600–$620 might ignite a short-covering rally. Either way, this week’s options expiry is a pressure valve. The real question is whether Meta’s AI roadmap—however delayed—can keep the hype alive long enough to justify the bets being made today.