NVDA Options Signal Bullish Bias: Key Strikes and Block Trades Point to $180 Call Strategy

• NVDA trades at $176.77, hovering near 200D MA ($156.33) but below 30D MA ($185.50).
• Options OI shows heavy call interest at $180–$200 strikes, with $180 call OI (81,493) outpacing $160 put OI (85,671).
• Block trades reveal 26,000 calls bought at $175 strike (expiring 9/19), hinting at institutional bullishness.

Here’s the takeaway: NVDA’s options market is quietly bullish, with call-heavy open interest and block trades suggesting a potential breakout above $180. While technicals show short-term bearish momentum, the balance of power in options leans toward a near-term upside push—but risks linger below $175 support.

Bullish Pressure in Options and Block Trades

The options chain tells a story of cautious optimism. This Friday’s $180 call (OI: 81,493) and $160 put (OI: 85,671) are the most contested strikes, with calls edging ahead. This suggests traders are pricing in a $180–$185 target if the stock breaks above its intraday high of $177.49. The $180 call is particularly interesting: it’s just 0.7% out of the money, meaning a modest rally could trigger rapid gamma exposure.

Block trades reinforce this narrative. The largest trade—26,000 calls at $175 strike (NVDA20250919C175)—was executed in early September, when the stock was trading near $175. That’s now just 0.5% above current levels. Think of it like a "buy zone" carved into the options market by big players. Meanwhile, the $160 put block trades (expiring 1/16/2026) suggest hedging activity for a worst-case scenario.

News Flow: Growth vs. Valuation Tension

Nvidia’s fundamentals are a mixed bag. Recent headlines highlight $57B in Q3 data center revenue and a 62% YoY sales surge, driven by AI infrastructure demand. Analysts at Evercore and Barclays have raised price targets to $225–$240, citing OpenAI’s $100B investment and the company’s CUDA/NvLink moat. But here’s the catch: the stock trades at a forward P/E of under 24 and a PEG ratio <0.7, which some argue is undervaluation… until you realize it’s already priced for 40%+ revenue growth in 2027.

This creates a valuation tightrope. If AI adoption slows or China policy shifts, the premium multiples could unravel. The options market isn’t pricing in that risk yet—calls dominate, and the put/call OI ratio (0.899) isn’t screaming for protection. But that could change fast if sentiment flips.

Actionable Trade Ideas

For options traders, the most compelling setup is the $180 call (NVDA20251219C180) expiring this Friday. Why? It’s just shy of the 30D MA ($185.50) and sits at the lower end of the Bollinger Bands (lower band: $174.64). If NVDA closes above $177.49 (intraday high), this strike could see explosive gamma. For a longer-term play, the $190 call (NVDA20251226C190) offers leverage if the stock breaks above $185 resistance.

Stock traders should consider entry near $175–$176 if the price holds above the 200D MA. A bullish breakout above $177.49 could target $185–$187 (30D MA to support/resistance zone). For downside protection, a put spread at $160–$175 (using NVDA20251226P160 and NVDA20251226P175) would cap losses if the stock stumbles.Volatility on the Horizon

The next 72 hours will be critical. If NVDA closes above $177.49, the $180 call could become a liquidity magnet. But watch the $175 level—it’s not just a support zone; it’s where block traders have already left their fingerprints. A break below $174.90 (intraday low) would invalidate the bullish case and send puts at $160 into overdrive.

Bottom line: This is a high-conviction trade for AI believers. The options market is pricing in a $180–$190 target, but the stock’s premium valuation means there’s little room for error. Stay nimble, and don’t let a 5% pullback turn into a 10% panic. The road to $225 starts with clearing $185—watch that level like a hawk.