NVDA Options Signal Bullish Bet: Calls Dominate at $190–$195 as Puts Guard $160 Floor—Here’s How to Play It

• Nvidia trades at $186.99, down 1.86% from $190.53, with volume surging to 72.8M shares.
• Options call open interest peaks at $192.5–$195 strikes, while puts cluster at $160–$170.
• Block trades show big money buying calls (e.g., 26,000 contracts at $175 strike) and hedging with deep puts.

The stock’s technicals and options flow tell a clear story: bulls are stacking up for a breakout above $190, but bears aren’t entirely out of the woods. Let’s break it down.

Bullish Calls Climb the Ladder, Puts Dig In at the Base

Options marketmakers are betting on a fight for $190–$195. This Friday’s call open interest peaks at $192.5 (82,913 contracts), $195 (76,557), and $197.5 (69,043)—strikes that sit 1.3% to 4.6% above the current price. That’s not just noise; it’s a wall of capital expecting a rebound. The put side, meanwhile, is anchored by heavy OI at $160 (22,736 contracts), a level 14.6% below today’s price. Think of it as a safety net: if NVDA cracks $180, the $160 puts could ignite a panic.

Block trades add intrigue. A 26,000-contract call buy at the $175 strike (expiring Sept 19, 2025) and a $160 put purchase (Jan 16, 2026) suggest institutional players are hedging long-term bets. But here’s the catch: the call-heavy options flow implies confidence in a rebound, yet the $160 puts hint at lingering fear. Don’t ignore that tension—it’s where risk lives.

News: Strategic Moves or Cash-Burning Stunts?

Nvidia’s $5B Intel stake and $20B Groq acquisition are polarizing. On paper, these bets signal a push into AI infrastructure and inference tech. But critics argue they’re cash-burning gambles in a market where NVDA already holds $60B in cash. The stock’s 1.9% drop reflects that skepticism.

Here’s the twist: options traders aren’t pricing in disaster. The call dominance at $190+ suggests they expect the AI hype to outweigh short-term noise. But if Intel’s partnership falters or Groq integration stumbles, those $160 puts could become a lifeline. Investor sentiment is fickle—this is a stock where headlines can swing $10 in a day.

Trade Ideas: Calls for the Breakout, Puts for the Panic

For options, target the NVDA20260109C190 and NVDA20260109C195 strikes. Why? High open interest (34,174 and 28,486 contracts) means liquidity, and the $190 strike is just 1.6% above today’s price—a realistic near-term target. If you’re bearish, the NVDA20260109P160 put (OI: 16,346) offers downside protection, but only if NVDA breaks below $180.

For stock, consider entry near $181.30 (middle Bollinger Band) if support holds. A break above $188.75 (intraday high) could target $191.66 (upper band). But watch the 30D support at $180.73—if it fails, the 200D support at $179.98 becomes critical.

Volatility on the Horizon: Balancing Bullish Bets and Bearish Safeguards

Nvidia’s story is a tightrope walk. The options market is pricing in a bullish rebound, but the news flow introduces real risks. If AI demand accelerates, the $195 calls could soar. But if capital allocation doubts linger, the $160 puts might save portfolios. Your edge? Stay nimble. Use the calls for upside, the puts as insurance, and keep a close eye on that $180 line.

One last thought: this isn’t just about numbers. It’s about psychology. The market is betting on a rebound, but it’s also bracing for a fall. Where you stand depends on whether you see Nvidia as a visionary or a cash-burning overreacher. The options flow? It’s hedging both.