Opendoor (OPEN) Soars 62.89% in Intraday Trading: What's Fueling This Meme Stock Surge?

Summary
• Opendoor Technologies (OPEN) trades at $3.665, up 62.89% from its $2.25 previous close.
• Intraday high hits $4.97, matching its 52-week high, while turnover balloons to $1.56 billion.
• Retail investors and a hedge fund's bullish bet drive a 95% surge, with Nasdaq delisting risk as a catalyst.

Opendoor’s dramatic intraday rally has captured market attention as retail traders and a high-profile hedge fund fuel a meme stock frenzy. The stock’s surge—from a near-98% collapse since 2021 to a 62.89% single-day gain—highlights the volatile interplay of speculative fervor, delisting pressures, and strategic cost-cutting.

Retail Hype and a Hedge Fund's Bullish Bet Drive Opendoor's Rally
Opendoor’s meteoric rise stems from a confluence of retail investor enthusiasm and a strategic narrative pushed by hedge fund manager Eric Jackson of EMJ Capital. Jackson’s assertion that OPEN could mirror Carvana’s 1,000% rebound in 2023—despite its own near-bankruptcy—has galvanized WallStreetBets users. His forecast of first-time positive EBITDA next month and a $82 price target has amplified retail participation. Meanwhile, the stock’s proximity to Nasdaq delisting (trading below $1 for 30 days) and a proposed 1-for-50 reverse split have created urgency among traders seeking to capitalize on a short-term bounce.

Retail Sector Volatility Amplified as Meme Stocks Surge
The broader retail sector is witnessing heightened volatility as meme stock dynamics intensify. GameStop (GME), the sector’s most visible meme stock, rose 2.75% intraday, reflecting renewed retail interest. However, Opendoor’s 62.89% surge far outpaces GME’s modest gains, underscoring the unique catalysts at play: Jackson’s endorsement, delisting risk mitigation, and a reverse split proposal. While GME’s rally is driven by speculative retail trading, Opendoor’s movement is further fueled by a tangible (albeit speculative) earnings turnaround narrative.

Options Playbook for Opendoor's Volatility: Calls and Puts in Focus
• MACD: 0.26 (bullish signal), RSI: 93.37 (overbought), 200D MA: $1.31 (far below current price).
• Key Levels: Resistance at $3.5 (200D support-turned-resistance), support at $2.6 (intraday low).

Opendoor’s technicals suggest a short-term overbought condition with high volatility. The RSI at 93.37 signals potential exhaustion, but the MACD histogram (0.158) and bullish crossover indicate lingering momentum. Traders must balance aggression with caution, as the stock’s $3.665 level is near its 52-week high.

Top Option 1: OPEN20250815C3 (Call, $3 strike, 2025-08-15 expiry)
• IV Ratio: 282.59% (high volatility)
• Leverage Ratio: 3.26% (moderate)
• Delta: 0.6643 (moderate sensitivity)
• Gamma: 0.156 (high sensitivity to price swings)
• Turnover: $3.57 million (liquid)
This call option offers a high gamma and moderate delta, ideal for capitalizing on a continuation of the rally. With a 5% upside target at $3.85, the payoff would be $0.85 per contract, aligning with the stock’s bullish momentum.

Top Option 2: OPEN20250919C3 (Call, $3 strike, 2025-09-19 expiry)
• IV Ratio: 216.43% (high)
• Leverage Ratio: 2.82% (moderate)
• Delta: 0.687 (high sensitivity)
• Gamma: 0.129 (moderate)
• Turnover: $2.52 million (liquid)
This contract provides a longer-dated alternative for bulls, with a 5% upside payoff of $0.85 per contract. Its higher delta and gamma make it suitable for a sustained move above $3.50.

Aggressive bulls may consider OPEN20250815C3 into a break above $3.50, while hedgers should monitor the $2.6 support level.

Backtest Opendoor Stock Performance
The backtest of the performance of the entire market after a 63% intraday surge reveals that such a significant event has no impact on the market, with the maximum return being only 0.17% on the day following the surge. This suggests that a single large intraday move is unlikely to lead to sustained long-term gains in the market.

Act Fast: Opendoor's Meme Stock Momentum Could Fade—Here's Your Playbook
Opendoor’s surge is a classic meme stock play, driven by retail hype and a high-profile hedge fund narrative. However, the RSI at 93.37 and the 52-week high at $4.97 suggest the rally is nearing exhaustion. Traders should prioritize liquidity and time decay (theta) in their options strategies. Meanwhile, the sector leader GameStop (GME) rose 2.75%, indicating retail enthusiasm is alive but less concentrated. Watch for a breakdown below $3.50 or a breakout above $4.97 to confirm the trend’s sustainability. Act now: Short-term bulls should target OPEN20250815C3 if $3.50 holds.