Option Focus | Alphabet’s Largest Trades Show $1.32 Million and $912,700 Out-of-the-Money Call Sales, Signaling Bearish Capped Upside into 2026

Option Witch09-09 07:01

Alphabet Inc. closed at $335.38, rising 0.02%.

The session’s largest options activity pointed decisively bearish, with two dominant out-of-the-money call sales. Traders sold $1.32 million and $912,700 in premium at the $400.00 and $380.00 strikes, respectively, both expiring on 2026-11-20. The flow signals a capped-upside view, where market participants are willing to collect premium and accept the risk of assignment only above levels that are far from the current price.

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Options Indicators

GOOG’s implied volatility is 32.27%, and with an IV percentile of 27.49%, current option volatility sits on the lower side of its historical range, indicating that options are relatively cheaply priced rather than expensive. At the same time, the IV/HV ratio of 1.64 shows implied volatility is running meaningfully above realized volatility, suggesting the market is still embedding a noticeable premium for future movement even though overall pricing remains in the lower-volatility bucket.

The Call/Put volume ratio is 2.70.

Large Trades

A call sale worth $1.32 million stood out as the largest large trade, with 3,578 contracts sold at the $400.00 strike expiring on 2026-11-20. With GOOG referenced at $335.38, this call was out of the money at the time of execution, making it a bearish-to-neutral position that leans toward capped-upside expectations. Strategically, selling an out-of-the-money call at this strike suggests the trader was likely collecting premium while expressing the view that GOOG is unlikely to rally above $400.00 by expiration.

Another notable trade was a $912,700 single-leg call sale, with 1,484 contracts sold at the $380.00 strike for the same 2026-11-20 expiration. This option was also out of the money versus the $335.38 reference price, reinforcing a bearish or at least restrained upside outlook. Taken together, the large-trade flow points clearly bearish overall, as both top trades were sizable out-of-the-money call sales that appear consistent with premium-selling activity and expectations that GOOG’s upside will remain limited rather than break sharply higher into that expiration.

Strategy Reference

For a seller seeking a low assignment probability, the $400.00 strike call expiring 2026-11-20 offers a wider cushion above the $335.38 reference price; alternatively, a bear call spread such as selling the $380.00 call and buying the $400.00 call would cap margin and limit risk while still monetizing the capped-upside view.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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