Visa (V) Options Signal $350 Bullish Battle: How Traders Can Hedge or Capitalize on Earnings Volatility

• Visa’s stock slumped 1.75% to $334.08, trading below its 30D, 100D, and 200D moving averages.
• Options data shows heavy call open interest at $345–$365 and put OI at $327.5–$330, with a bearish put/call ratio of 0.81.
• A $350 call block trade (V20251017C350) hints at institutional bullishness ahead of earnings.

Here’s the core insight: Visa’s options market is bracing for a $350 psychological battle. With technicals pointing to a near-term rebound and earnings volatility on the horizon, traders have a clear playbook to either hedge downside risk or capitalize on a potential breakout. Let’s break it down.

The $350 Crossroads: What Options Are Telling Us

Visa’s options chain is a chessboard of expectations. This Friday’s expiring calls show the most open interest at $345 ($1,057 contracts) and $347.5 ($1,042), while puts peak at $330 ($1,064) and $327.5 ($1,004). These numbers aren’t random—they signal a tug-of-war.

Think of it like a seesaw: calls above $345 suggest buyers are pricing in a rebound, while puts below $330 imply sellers fear a breakdown. The block trade of 750 $350 calls (V20251017C350) adds intrigue. That’s a whale-sized bet saying, “I expect a pop above $350.”

But don’t ignore the risks. The RSI at 56.07 and MACD histogram (-0.74) hint momentum is waning. If the $336.35 Bollinger Band support fails, the $327.5 put-heavy zone could become a bloodbath for longs.

Earnings and Valuation: Fuel for the Fire

Visa’s Q4 2025 results (released Oct 28) and valuation analysis add context. The 1% post-earnings rally suggests mixed reactions—investors are cautiously optimistic but wary of the 32.6x P/E. The $391.46 fair value estimate is a 17% upside, but that hinges on AI-driven fraud tools and stablecoin bets paying off.

Here’s the catch: options sentiment leans bearish (put/call ratio of 0.81), yet the stock’s 17% one-year TSR shows resilience. This duality means traders should treat earnings as a catalyst, not a verdict. A beat could reignite the $350+ fight; a miss might accelerate the slide to $322.5.

Actionable Trade Ideas: Play the $350 Inflection Point

For options traders, the most compelling setups are:

• Bull Call Spread (This Friday): Buy the $345 call (OI: 1,057) and sell the $365 call (OI: 1,096). Why? The $345 strike is near the 30D support ($339.83), and the $365 strike has heavy OI to act as a liquidity magnet. If Visa cracks $345, the spread limits downside while capturing a rally.
• Bear Put Diagonal (Next Friday): Buy the $327.5 put (OI: 587) expiring next Friday. The put/call ratio’s bearish skew and Bollinger Band support at $336.35 make this a low-risk hedge. If Visa breaks below $333.71 (today’s low), this put could surge.

For stock traders, consider:

• Entry Near $336.35: If Visa holds above its lower Bollinger Band, target a long entry between $333.71 and $336.35. First resistance is at $339.83 (30D support), with a potential target at $345.
• Short Above $345: If the stock breaks $345 but fails to hold $350 (the block trade level), consider a short with a stop at $352.5. The $347.5 call OI (1,042) could create a ceiling.

Volatility on the Horizon: Position for the Storm

Visa’s options market is a pressure cooker. The $350 level isn’t just a number—it’s a psychological battleground. With earnings chatter and valuation debates heating up, volatility is inevitable.

Your best bet? Play the edges. If you’re bullish, the $345–$350 range offers a high-probability entry. If you’re bearish, the $327.5–$330 put zone is your safety net. And for those who like to hedge, a small position in the $327.5 put next Friday could protect against a surprise selloff.

Either way, don’t treat this as a binary outcome. Visa’s story is about momentum shifts, not just numbers. The next few days will tell whether the bulls can reclaim $350 or if the bears drag it toward $322.5. Stay nimble, and let the options data guide your next move.