NVIDIA closed at USD 219.74, down 2.34%.
Large options trades displayed a decisively bullish tilt. A $2.69 million long-dated bull call spread and a $3.16 million short put anchored the session, with net bullish flow of $14.10 million across all large trades. The positioning suggests confidence in medium- to long-term upside rather than fear of a prolonged decline, even as the stock pulled back on the day.
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Options Indicators
NVDA’s implied volatility is 42.72%, and with an IV percentile of 40.24%, current volatility sits in a neutral range rather than at an extreme. The IV/HV ratio of 1.13 indicates implied volatility is running modestly above historical volatility, suggesting the options market is assigning a slight premium to future movement expectations, but overall pricing does not appear especially cheap or especially expensive at current levels.
The Call/Put volume ratio is 1.75, reflecting heavier interest in call-side activity relative to puts and aligning with the bullish tone observed in large trades.
Large Trades
A bullish bull call spread with a net debit of $2.69 million stood out as one of the clearest directional bets, involving the purchase of 1,800 March 19, 2027 $220 calls and the sale of 1,800 March 19, 2027 $260 calls. With NVDA referenced at $219.74, both strikes were out of the money at execution, making this a forward-looking upside structure rather than an intrinsic-value play. The net debit of $2.69 million signals a defined-risk bullish position, where the trader paid premium upfront to gain leveraged upside exposure through the $220 strike while financing part of that cost by capping gains above $260. Strategically, this is a classic directional bet on a meaningful rise in NVDA over a long-dated horizon, using limited premium outlay relative to outright call buying.
A $3.16 million short put was the other major displayed trade, with 2,500 June 17, 2027 $180 puts sold. Since the $180 strike sat below the $219.74 spot reference, the put was out of the money, indicating the seller was positioning for NVDA to remain above that level or at least avoid a major breakdown into expiration. Selling this put reflects a bullish-to-income-oriented stance: the trader collects premium upfront while expressing confidence in downside support well below the current stock price, potentially also signaling willingness to own shares at an effective lower entry level if assigned. The trade’s size and long-dated tenor make it a notable premium-collection strategy with a constructive underlying bias.
Overall sentiment across all large trades was clearly bullish, with total bullish flow of $22.94 million versus $8.84 million in bearish flow, for a net bullish difference of $14.10 million. The directional judgment is decisively positive: large traders showed materially greater willingness to pay for upside structures and sell downside premium than to press outright bearish exposure. That tone is reinforced by the featured long-dated bull call spread and the sizable out-of-the-money short put, both of which reflect confidence in NVDA’s medium- to long-term resilience and upside potential rather than fear of an extended decline.
Strategy Reference
For traders seeking a lower-margin defined-risk alternative, a bull put spread such as selling the June 2027 $180 put and buying the June 2027 $150 put could capture premium while sharply limiting assignment risk and capital requirement relative to a naked short put.
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