XOM Options Signal Bullish Momentum: Key Strike Levels and Trade Setups for Friday Expiry

• XOM trades at $115.95, down 0.43% from $116.45, with a bullish engulfing candle and rising MACD (0.81) signaling short-term strength.
• Call open interest dominates (put/call ratio: 0.62), with heavy positioning at $119 and $117 strikes for Friday expiry.
• Bollinger Bands show price near the upper band (116.99), while 30D support sits at $113.93.

The options market is whispering a breakout story—let’s unpack why this could be a pivotal week for Exxon Mobil.Bullish Sentiment Locked in OTM Strikes

Options data tells a clear story: traders are betting on a near-term rally. For Friday expiry, the $119 call (OI: 8,133) and $117 call (OI: 5,071) lead the pack, suggesting significant positioning just above current levels. This isn’t random—high open interest at these strikes often acts like a magnet, pulling price toward key psychological thresholds.

But it’s not all one-way bets. The $114 put (OI: 1,709) and $112 put (OI: 1,553) show some hedging activity, though the call/put imbalance (0.62 ratio) still tilts decisively bullish. Here’s the rub: if price stumbles below the 30D support ($113.93), those puts could create a short-term floor. However, the heavy call positioning implies a risk of a rapid rebound if buyers step in above $115.26 (today’s low).

No News, But Market Sentiment Speaks Volumes

There’s no headline-grabbing news this week, which means fundamentals aren’t driving the show. Instead, the energy sector’s broader rally and macro optimism (higher oil prices, inflation fears) are likely fueling this options setup. Without earnings or guidance to anchor sentiment, traders are left reading technical cues—and they’re leaning in.

Think of it like a room full of investors quietly buying insurance against a downturn while also placing bets on a rebound. The lack of block trades (no whale-sized moves) suggests this is retail and institutional positioning in lockstep, not a sudden shock to the system.

Actionable Trade Setups for XOM

For options traders: the $117 call (Friday expiry) is a prime candidate. With 5,071 contracts open, this strike sits just 2% above the current price. If XOM closes above $117 by Friday, the payoff could be sharp—especially if the bullish engulfing pattern holds. For a longer play, the $120 call (next Friday expiry, OI: 1,604) offers leverage if the rally accelerates.

Stock traders: Consider entries near $113.93 (30D support) with a stop just below $113.50. The target? Push above the Bollinger Upper Band at $116.99, then aim for $118–$119 to test the call-heavy zones. If the move falters, the $114 put could offer a hedge for downside, though it’s a smaller bet.

Volatility on the Horizon: Positioning for XOM’s Next Move

Here’s the bottom line: the options market is pricing in a directional move, not a sideways grind. The RSI (62.46) and MACD histogram (0.36) both suggest momentum is building, and the 200D MA ($110.02) is far enough below current levels to act as a distant floor.

But don’t ignore the risks. If XOM fails to hold above $115.26 intraday, the 30D support at $113.93 becomes critical. A breakdown there could trigger a test of the $108.34 200D support, where the $110 put (OI: 2,318) might offer a cushion—but not much else.

This week’s Friday expiry is your first test. Watch those $117 and $119 calls like a hawk. If they start to decay in value before expiry, it could signal a shift in sentiment. But for now, the data points to a stock primed for a breakout—and the options market is already placing its bets.