SPY Options Signal a Bullish Push Above $670—Should Traders Target $700 Calls This Week?

• SPY currently at $671.12, showing a 0.31% gain from open
• Options activity favors puts at $660 and calls at $700, with a massive put/call ratio of 2.01
• Big block trades hint at bearish positioning at $680 put, and bullish call activity at $650 ahead of April

The SPY options market is sending a clear message today: bulls are cautiously optimistic, and bears are playing it safe with hedging at key levels. Given the current price action and options positioning, the setup suggests a potential upside move above $674. But the path isn’t without risk—and that’s where traders need to pay attention.

Bearish Protection and Bullish Bets: What the OTM Options Say

The options market is all about where smart money is waiting for the next move. Right now, the top OTM call options with the most open interest are at $700 (OI: 69,213) and $690 (OI: 52,519), both expiring this Friday. That means a lot of investors expect a meaningful pop in SPY by the weekend.

On the put side, the story is more cautious. The largest put activity is at $660 (OI: 164,508), and even further out at $520 and $580. That’s not a sign of panic—it’s more like a hedge. It’s as if investors are buying insurance in case of a sudden market jolt.

But here’s the kicker: block trading data shows a huge trade of 11,250 puts at $680 expiring in June, with a total value of $29.4 million. That kind of activity isn’t random. It suggests someone is either locking in downside protection or shorting puts, betting the market won’t fall below $680 before June. That might be bearish for the near term, but it’s a long-term signal of where the big players are setting a floor.

The RSI at 36 and the MACD still negative tell us that while the long-term trend is sideways, the short-term is still in bear mode. So the $680–$686 resistance level from the 30-day average is going to be a battleground. If SPY can break above that, the $690–$700 range could be in play this week.

Market News Is Quiet—But That Might Work in Your Favor

There’s no major news impacting SPY right now. That sounds boring, but it’s actually helpful. With no earnings reports or economic shocks on the horizon, the SPY price is being driven more by technical levels and options sentiment than by headlines. That means the market is in trader mode—not investor mode—and that often leads to sharper, more predictable moves.

What this also means is that if SPY does break through the upper Bollinger Band at $697, there won’t be a news-driven counter-trend to stop it. So if you’re playing this move, you can take it seriously. The market isn’t distracted.

Actionable Trade Ideas: Calls at $700, Bets at $680

Here’s what to do if you’re bullish:

• Buy SPY20260320C700 calls this Friday. With 69,213 open interests, that’s the most liquidity and the most bullish strike. If SPY closes above $690 by Friday, these could see a meaningful pop.
• Or, go longer with SPY20260327C700—it’s a slightly more cautious approach, with 14,895 OI, but gives you more time to see the move play out.

For a bearish or neutral approach:

• SPY20260320P660 puts are the most traded. Use them to hedge a long position or as a standalone bet if you think the market might dip.

For a directional stock trade:

• If you’re buying SPY, look for an entry near $670–672 if the 30-day average holds. A strong close above $686 would be a green light to add. Set a target at $695 if you’re bullish, and a stop just below $664 (the lower Bollinger Band) if you’re risk-averse.

Volatility on the Horizon: What to Expect

Given the mix of bearish block trades at $680 and bullish positioning at $700, SPY is in a setup where either a breakout or a breakdown could happen. But the momentum isn’t there yet. The key is to watch the 30-day moving average at $683.21. If SPY can climb above that by Friday, the $700 level might not be out of reach.

This is a high-probability trade with clear entry, exit, and risk points. The options activity isn’t just random—it’s telling you where to focus. And for now, the data says SPY is primed to test the upper bounds of its range. So if you’re a trader looking for a setup with both clarity and opportunity, this is your week.