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AMZN: $317M Options Flow - Oct 31, 2025

Smart money just moved $317M on AMZN options. Someone just dropped $317 MILLION across three monster Amazon trades this morning at 11:25 AM! The biggest move? A $167M bet on February 2026 calls - that's 10 months of runway for Amazon's AI infrast. Unusual activity: 920x average size. Full breakdown

πŸ“¦ AMZN Massive $317M Options Blitz - Bulls Loading Up on 2026 AI Breakout! πŸš€

πŸ“… October 31, 2025 | πŸ”₯ Unusual Activity Detected

🎯 The Quick Take

Someone just dropped $317 MILLION across three monster Amazon trades this morning at 11:25 AM! The biggest move? A $167M bet on February 2026 calls - that's 10 months of runway for Amazon's AI infrastructure buildout to pay off. But here's the twist: They're also selling $150M worth of November calls, taking profits at $247 while the stock just crushed earnings and hit new highs. Translation: Smart money is rotating from short-term wins into long-term AI upside!


πŸ“Š Company Overview

Amazon.com Inc. (AMZN) is the world's largest e-commerce and cloud computing company:
- Market Cap: $2.63 Trillion (up from $2.31T before earnings!)
- Industry: Retail - Catalog & Mail Order
- Current Price: $247.47 (just hit 52-week high of $250.50)
- Primary Business: E-commerce, AWS Cloud, Advertising, Prime subscriptions

Amazon just reported blowout Q3 earnings on October 30th, with EPS of $1.95 (beating $1.57 estimate) on revenue of $180.2B. AWS accelerated to 20% growth - the fastest pace since 2022 - sending the stock up 12% in after-hours trading!


πŸ’° The Option Flow Breakdown

The Tape (October 31, 2025 @ 11:25:42):

Time Symbol Side Buy/Sell Type Expiration Premium Strike Volume OI Size Spot Option Price
11:25:42 AMZN ASK BUY CALL 2026-02-20 $167M $220 46K 4.9K 45,000 $246.81 $37.20
11:25:42 AMZN MID SELL CALL 2025-11-21 $94M $210 41K 49K 25,000 $246.81 $37.56
11:25:42 AMZN BID SELL CALL 2025-11-21 $56M $210 16K 49K 15,000 $246.81 $37.55

Summary:
- πŸ’° Total Premium: $317M across three simultaneous trades
- πŸ“ˆ Net Position: Long 45,000 Feb 2026 calls, Short 40,000 Nov 2025 calls
- 🎯 Strike Focus: $220 strike for 2026, $210 strike for November
- 🏦 Size: Combined 85,000 contracts = 8.5 MILLION shares of exposure!

πŸ€“ What This Actually Means

This is a sophisticated roll-up strategy that screams institutional conviction! Here's what's happening:

  • 🎯 The Big Buy: $167M into February 2026 $220 calls - these are already deep in-the-money with $26.81 intrinsic value
  • πŸ’Έ Profit Taking: Selling $150M worth of November $210 calls in two separate tranches
  • ⏰ Time Arbitrage: Taking chips off the table after earnings pop, redeploying into 2026 with 112 days extra runway
  • πŸ€– The Bet: AWS AI infrastructure investments ($105B capex in 2025!) will drive massive upside through Q1 2026

Why this matters:
The trader is essentially saying "I've made bank on this earnings run-up, but the REAL money is in 2026 when AWS acceleration, advertising growth, and AI adoption converge." They're paying up for time value to capture the next leg of Amazon's AI transformation.

Unusual Score: πŸ”₯πŸ”₯ EXTREME (920x average size for the Feb 2026 trade) - This happens only a few times per year! We're talking about single-trade exposure equivalent to multiple hedge funds combined.


πŸ“ˆ Technical Setup / Chart Check-Up

YTD Performance Chart

AMZN YTD Performance

Amazon is up +12.08% YTD with a current price of $246.83, and just hit a fresh 52-week high of $250.50 after earnings. The chart shows a dramatic recovery story:

Key observations:
- πŸ“ˆ V-shaped recovery: From -30.88% max drawdown to new all-time highs - that's a 60%+ swing!
- πŸš€ Post-earnings surge: The October 30th earnings beat triggered a 12% after-hours pop, gapping the stock to new highs
- 🎒 Volatility: 36.4% annualized vol shows this isn't a sleepy megacap - significant swings create opportunity
- πŸ’ͺ Momentum shift: After trading sideways $170-230 most of the year, AMZN finally broke out above $235 resistance
- πŸ“Š Volume confirmation: Massive volume spikes in late October signal institutional repositioning ahead of/after earnings

Amazon was the laggard among Magnificent Seven stocks over the past five years (only 43% returns vs Meta's 168%), but this earnings beat may mark the inflection point for catch-up potential.

Gamma-Based Support & Resistance Analysis

AMZN Gamma Support & Resistance

Current Price: $247.47

The gamma exposure map reveals critical price magnets and walls around current levels:

πŸ”΅ Support Levels (Put Gamma Below Price):
- $247.50 - Immediate support with 40.1B total gamma (razor-thin margin!)
- $245 - Strong floor with 92.3B gamma (dealers will aggressively buy dips here)
- $240 - Major support zone at 54.7B gamma
- $235 - Secondary support with 51.3B gamma
- $230 - Deep support at 41.1B gamma
- $220 - Extreme floor with 27.5B gamma (where the Feb 2026 calls are struck!)

🟠 Resistance Levels (Call Gamma Above Price):
- $250 - STRONGEST resistance with massive 211.4B gamma! (Current ceiling)
- $255 - Secondary resistance at 42.0B gamma
- $260 - Major ceiling with 42.4B gamma
- $270 - Extended resistance zone at 26.1B gamma

What this means for traders:
AMZN is trading RIGHT AT the strongest gamma resistance level ($250). This is why the stock struggled to push above $250.50 even after the massive earnings beat. Market makers holding these positions will hedge by selling stock as price approaches $250, creating natural resistance. However, the support at $245-$247.50 is razor-thin, suggesting potential for either a breakout above $250 or a pullback to $245.

Net GEX Bias: BULLISH (744.5B call gamma vs 129.2B put gamma) - Overwhelming bullish positioning. The ratio is almost 6:1 in favor of calls, showing massive institutional conviction in upside.

Implied Move Analysis

AMZN Implied Move Analysis

Options market pricing for upcoming expirations:

  • πŸ“… Weekly (Nov 7 - 7 days): Β±$25.73 (Β±10.26%) β†’ Range: $225.91 - $275.55
  • πŸ“… Monthly OPEX (Nov 21 - 21 days): Β±$27.16 (Β±10.83%) β†’ Range: $223.56 - $277.90
  • πŸ“… Quarterly Triple Witch (Dec 19 - 49 days): Β±$30.28 (Β±12.08%) β†’ Range: $209.98 - $277.37
  • πŸ“… Yearly LEAPS (Sep 2026 - 322 days): Β±$55.93 (Β±22.31%) β†’ Range: $173.74 - $301.07

Translation for regular folks:
Options traders are pricing in a MASSIVE 10.26% move ($26) by next Friday - that's HUGE for a $2.6T company! This elevated implied volatility reflects the post-earnings uncertainty and shows why options are expensive right now. The market thinks AMZN could trade anywhere from $226 to $276 in the next week.

For the February 2026 timeframe (when the big $167M call expires), the market is pricing in more modest volatility as things settle. But here's the kicker: the September 2026 LEAP implied move shows a potential $301 upside target - meaning this massive call purchase at $220 strike could have $80+ of upside if Amazon hits analyst price targets!


πŸŽͺ Catalysts

πŸ”₯ Past Catalysts (Already Happened - Market Reacted)

Q3 2025 Earnings Blowout - October 30, 2025 βœ…

Amazon crushed Q3 expectations after market close, triggering a 12% after-hours surge:

Key takeaway: CEO Andy Jassy emphasized "AWS is growing at a pace we haven't seen since 2022", validating the massive AI infrastructure investments.

52-Week High Breakthrough - October 31, 2025 βœ…

Stock hit $250.50 on October 31st, breaking out to new all-time highs following the earnings beat. Market cap surged to $2.63 trillion, cementing Amazon's position among mega-cap tech leaders.

πŸš€ Upcoming Catalysts (Next 6-12 Months)

AWS AI Acceleration & Project Rainier - Q4 2025 into 2026 β˜οΈπŸ€–

Amazon's $105 billion 2025 capex commitment (up 35% from $78B in 2024) is the largest AI investment in corporate history, and it's starting to pay dividends:

The thesis: AWS just accelerated to 20% growth after quarters of deceleration, but analysts believe this is just the beginning. As enterprises migrate workloads to AI-optimized infrastructure throughout 2026, AWS could re-accelerate toward 25-30% growth rates, massively expanding margins. The $105B capex investment positions Amazon to capture this wave.

Advertising Business Approaching $100B Milestone - 2026 πŸ“Ί

Amazon's advertising segment is a high-margin beast approaching $94B globally by 2026:

Why this matters: Advertising is Amazon's highest-margin business. As this segment scales toward $100B, it will dramatically improve Amazon's overall margin profile, potentially driving EPS growth faster than revenue growth. The 24% YoY growth rate shows no signs of slowing.

Project Kuiper Satellite Revenue - 2026-2030 πŸ›°οΈ

Amazon's satellite internet venture is projected to generate $10B annually by 2030, with 1,433 satellites already launched as of mid-2025. This positions Amazon to compete with Starlink in the growing satellite broadband market, creating an entirely new revenue stream.

Prime Membership Expansion - Ongoing πŸ“¦

Prime membership expected to reach nearly 400 million members by 2028 from 317.8M in 2024. More members = more advertising inventory + more subscription revenue + deeper moat. Each new Prime member drives higher advertising revenue and creates switching costs that lock in customers.

Analyst Price Target Upgrades - Post-Earnings Wave πŸ“ˆ

Following Q3 earnings, multiple analysts raised price targets significantly:

Consensus now points to $269-275 average target, representing 19-21% upside from current levels.

⚠️ Risk Catalysts (Negative)

Cloud Competition Intensifying πŸ₯Š

AWS faces fierce competition from Microsoft Azure (40% growth) and Google Cloud (34% growth). While AWS's 20% growth beat expectations, it's still losing market share to faster-growing rivals. Any sign of further deceleration could trigger selloffs. The competitive pressure is real.

FTC Antitrust Trial - October 2026 βš–οΈ

FTC case regarding Prime subscriptions set for trial in October 2026. Regulatory action could force changes to Prime structure or fees, impacting the high-margin subscription business. This regulatory overhang creates uncertainty.

Consumer Spending Sensitivity πŸ’Έ

Retail business (still 70%+ of revenue) remains vulnerable to macroeconomic conditions. Any recession or consumer pullback would hit Amazon's core e-commerce harder than AWS/advertising.

Valuation Risk After 12% Pop πŸ“Š

After the post-earnings surge to new highs, Amazon's valuation has expanded. Any disappointment in Q4 guidance or AWS acceleration trajectory could trigger profit-taking from recent highs.


🎲 Price Targets & Probabilities

Using gamma levels, implied move data, and upcoming catalysts, here are the scenarios:

πŸ“ˆ Bull Case (40% probability)

Target: $270-$290 by February 2026

How we get there:
- πŸš€ AWS re-acceleration continues beyond 20% - hitting 23-25% growth in Q4 2025/Q1 2026 as AI workloads mature
- πŸ’° Advertising business crosses $20B quarterly run rate, approaching $80B annualized
- πŸ“ˆ Operating margins expand faster than expected as $105B capex investments drive efficiency
- 🎯 Analysts raise price targets further - Wedbush already at $330, others follow
- πŸ“Š Break through $250 gamma resistance triggers momentum buying toward $260-270 levels
- πŸ€– AI narrative strengthens as Trainium2 adoption accelerates 150% QoQ

Probability assessment: The $167M February 2026 call buyer is betting exactly on this scenario. With $220 strike and AMZN at $247, they need just $273+ to be profitable (accounting for premium paid). The bull case requires sustained AWS momentum + advertising growth, which current trends support.

🎯 Base Case (45% probability)

Target: $240-$260 range through Q1 2026

Most likely scenario:
- βœ… AWS maintains 20% growth but doesn't meaningfully re-accelerate (market already pricing this in)
- πŸ“Ί Advertising continues 20-24% growth trajectory - solid but not accelerating
- βš–οΈ Margins improve modestly but $105B capex drag limits near-term profitability upside
- πŸ”„ Trading between strong gamma support ($245) and resistance ($250-255) bands
- πŸ’Ό Retail business shows seasonal strength in Q4 but normalizes in Q1
- πŸ“Š Stock consolidates recent gains, digests 12% post-earnings pop
- 🎯 Waits for next major catalyst (Q4 earnings in January 2026) before next leg

This scenario still works for the call buyer: Even at $255-260, the Feb 2026 $220 calls are worth $35-40, preserving most of the $37.20 premium paid. The call sellers capturing $150M in premiums on the November $210 strikes are betting on exactly this - stock stays below $247.50 for 21 days.

πŸ“‰ Bear Case (15% probability)

Target: $220-$235

What could go wrong:
- 😰 AWS growth decelerates back toward 15-17% as competition from Azure/GCP intensifies
- πŸ’Έ Consumer spending weakens, hitting retail margins in Q4 holiday season
- 🎯 Q4 guidance disappoints - company signals $105B capex weighing on near-term margins more than expected
- πŸ“‰ Broader tech selloff as interest rates stay higher longer, compressing valuations
- βš–οΈ Regulatory headlines from FTC case create uncertainty about Prime business model
- πŸ”» Break below $245 support triggers stop-losses, testing $230-235 gamma support zone

Impact on trades: In bear case, the $167M Feb 2026 call buyer faces mark-to-market losses but has 112 days for recovery. The November call sellers profit fully as $210 strikes expire worthless if AMZN drops to $230.


πŸ’‘ Trading Ideas

πŸ›‘οΈ Conservative: Cash-Secured Put Strategy

Play: Sell cash-secured puts at strong gamma support levels to get "paid to wait"

Structure: Sell December $240 puts (49 days to expiration)

Why this works:
- πŸ’° Collect premium while waiting for better entry after earnings volatility settles
- πŸ›‘οΈ $240 strike sits at major gamma support (54.7B) - dealers will defend this level
- πŸ“Š If assigned, you own AMZN at $235-237 effective cost (after premium), 5% below current price
- ⏰ 49 days allows post-earnings IV to crush, capturing high theta decay
- βœ… Even in bear case, $240 is reasonable entry for long-term hold

Estimated P&L (approximate based on current levels):
- πŸ’° Collect ~$4-5 premium per put ($400-500 per contract)
- πŸ“ˆ Max profit: Keep full premium if AMZN stays above $240 at Dec 19 expiration
- πŸ“‰ Max risk: Forced to buy 100 shares at $240 ($24,000 per contract) - but you wanted to own it anyway
- 🎯 Breakeven: $235-236 (after premium collected)

Entry timing: Wait 2-3 days for post-earnings IV to fully collapse, then sell puts

Risk level: Low-Moderate (requires $24,000 cash per contract) | Skill level: Beginner-friendly

βš–οΈ Balanced: Bull Call Spread into AWS Momentum

Play: Diagonal call spread betting on AWS acceleration through Q1 2026

Structure:
- Buy February 2026 $250 calls
- Sell December 2025 $260 calls

Why this works:
- 🎯 Targets breakout above current $250 resistance toward $260-270 gamma ceiling
- ⏰ February expiration captures Q4 earnings (late January) + any AWS re-acceleration data
- πŸ’° Selling near-term $260 calls reduces cost basis while capping upside
- πŸ“Š Defined risk spread - know max gain/loss upfront
- πŸš€ Aligns with the $167M institutional bet on Feb 2026 timeframe
- πŸ”„ Can roll the short calls if stock approaches $260, capturing more premium

Estimated P&L (adjust after seeing real-time pricing):
- πŸ’° Net debit: ~$8-10 per spread (buy $250 call ~$18-20, sell $260 call ~$10-12)
- πŸ“ˆ Max profit: $10 width - $8-10 debit = ~$100-200 profit per spread at $260+ (10-20% return)
- πŸ“‰ Max loss: $800-1,000 debit paid if AMZN below $250 at Feb expiration
- 🎯 Breakeven: ~$258-260 at February expiration

Risk management: If AMZN breaks above $260 in December, roll the short calls out to January, collecting more premium and giving position more time.

Risk level: Moderate (defined risk) | Skill level: Intermediate

πŸš€ Aggressive: Mirror the Whale - Long-Dated Calls (YOLO-ish)

Play: Follow the $167M trade with long-dated deep ITM calls

Structure: Buy February 2026 $220 calls (same as the whale!)

Why this could work:
- πŸ‹ Piggyback on $167M institutional bet - someone knows something we don't
- πŸ’Ž Deep ITM ($220 strike vs $247 spot) = high delta, moves almost like stock
- ⏰ 112 days provides runway for multiple catalysts: Q4 earnings, AWS data, advertising milestones
- πŸš€ Leverage play: ~$37 per contract controls $247 of stock (6.7x leverage)
- πŸ“Š Targets $270-290 bull case where calls worth $50-70 (35-90% gain potential)
- πŸ›‘οΈ Less risky than OTM calls - already have $27 intrinsic value

Why this could blow up (SERIOUS RISKS):
- πŸ’₯ Time decay: Paying $10 in time value that evaporates if stock goes sideways
- 😱 If AMZN pulls back to $230 (bear case), calls lose 30-40% of value quickly
- πŸ“‰ No income generation - pure directional bet with 100% capital at risk
- 🎒 High volatility (36.4%) means wild swings - can you stomach 20% drawdowns?
- πŸ’° Expensive: $3,700 per contract ties up significant capital
- ⚠️ February 20 expiration: If catalysts don't materialize by then, time value bleeds away

Estimated P&L:
- πŸ’° Cost: ~$37 per contract ($3,700 investment)
- πŸ“ˆ Bull case ($280 by Feb): Calls worth ~$60 = +$2,300 profit (62% gain)
- 🎯 Base case ($255 by Feb): Calls worth ~$35 = -$200 loss (-5%)
- πŸ“‰ Bear case ($230 by Feb): Calls worth ~$10 = -$2,700 loss (-73%)
- πŸš€ Moon shot ($300+): Unlimited upside

Risk management strategies:
- πŸ“Š Take profits on 50% of position if up 30%+ - let rest ride
- πŸ›‘ Set mental stop-loss at 30% down ($26 call value) to limit damage
- πŸ”„ Consider selling shorter-dated calls against position if stock runs to $260+ (convert to diagonal spread)

⚠️ WARNING: DO NOT attempt this trade unless you:
- Can afford to lose 100% of the investment ($3,700 per contract)
- Understand deep ITM calls carry both intrinsic AND time value risk
- Have experience managing long-dated option positions
- Won't panic sell on 10-15% pullbacks (normal for AMZN)
- Believe in the AWS/AI thesis for next 6-12 months

Risk level: HIGH (100% capital at risk) | Skill level: Advanced


⚠️ Risk Factors

Don't get caught by these potential landmines:

  • 🎒 Post-earnings volatility still elevated: IV at 36.4% and implied 10.26% weekly move shows market expects BIG swings. Stock gapped 12% on earnings - could easily gap down 8-10% on any disappointment or profit-taking. Options are EXPENSIVE right now due to elevated IV.

  • πŸ’° Massive $105B capex drag on near-term margins: While $105B in AI investments position Amazon for long-term dominance, they weigh on short-term profitability. Q4 margins could disappoint if capex accelerates faster than revenue growth, triggering selloff despite strong top-line.

  • πŸ₯Š AWS competition intensifying faster than expected: Microsoft Azure (40% growth) and Google Cloud (34% growth) are growing TWICE as fast as AWS. While AWS's 20% growth beat expectations, continued market share losses could pressure the stock. One bad AWS data point could crater the AI narrative.

  • πŸ“Š Gamma ceiling at $250 is MASSIVE: The 211.4B gamma resistance at $250 is the strongest level on the entire chart. Breaking through requires sustained institutional buying pressure. Market makers will aggressively sell into rallies toward $250, creating natural price cap. This explains why stock struggled at $250.50 even after monster earnings.

  • πŸ›‘οΈ Razor-thin support at $247.50: Only 40.1B gamma supporting current price. If selling pressure emerges, stock could quickly fall to $245 (92.3B gamma) or even $240. The gap between current price and strong support creates downside risk.

  • βš–οΈ Regulatory overhang from FTC case: Trial set for October 2026 regarding Prime subscriptions. Any negative headlines or preliminary rulings could spook investors. Prime is a critical moat - threats to it directly impact valuation.

  • πŸ’Έ Consumer spending uncertainty into 2026: Retail still represents 70%+ of revenue. If macroeconomic conditions deteriorate (recession, unemployment spike, credit contraction), Amazon's core e-commerce business gets hit hard. Holiday Q4 strength could be followed by weak Q1 2026.

  • 🎯 Valuation risk after 12% surge: Stock just jumped from $220s to $247 in 24 hours. Much of the good news (AWS acceleration, advertising growth) now priced in. Requires perfect execution on guidance to justify current levels. Any miss triggers "sell the news" reaction.

  • πŸ”„ Options are expensive post-earnings: With IV elevated and implied moves of 10%+, option premiums are inflated. Buying options now means paying peak prices. IV crush could wipe out gains even if stock moves in your favor but not fast enough.

  • πŸ“‰ Insider profit-taking signal: The $150M in November call sales suggest smart money is taking profits at $247 levels rather than holding for more upside. When whales are selling, retail should ask "what do they know?"


🎯 The Bottom Line

Real talk: Someone just deployed $317 MILLION in a sophisticated options strategy that screams "I believe in Amazon's 2026 AI story, but I'm taking profits NOW after this earnings pop." This isn't a simple bullish bet - it's a tactical rotation from short-term wins into long-term conviction.

What this trade tells us:
- 🎯 Smart money expects AMZN to consolidate $240-255 through November (hence selling $210 calls for $150M)
- πŸš€ BUT they're massively bullish on Feb 2026 timeframe ($167M into $220 calls = expecting $270-290+)
- πŸ€– The bet is specifically on AWS re-acceleration and AI infrastructure payoff in Q1 2026
- πŸ’° They're comfortable paying $37 per contract (mostly intrinsic value) to lock in leverage for next 112 days
- ⏰ Key inflection point: Q4 earnings in late January 2026 when we'll see if AWS momentum sustains

If you own AMZN:
- βœ… Congrats on the 12% post-earnings pop! Consider trimming 20-30% to lock in gains
- πŸ“Š Strong gamma support at $245 provides some cushion, but $250 resistance is formidable
- 🎯 If you believe in the AWS/AI thesis (20% growth accelerating, $105B capex paying off), hold core position
- πŸ“ˆ Watch for breakout above $250 on volume - that unlocks $260-270 targets
- πŸ›‘ Set stop-loss at $240 to protect against breakdown below gamma support

If you're watching from sidelines:
- ⏰ Don't chase at $247 after 12% gap-up - be patient!
- 🎯 Wait for pullback to $240-242 range (strong gamma support) for better entry
- πŸ“‰ Or sell cash-secured puts at $240 to get "paid to wait" for your entry
- πŸ” Watch AWS growth metrics closely - any data suggesting re-acceleration validates the bull thesis
- βœ… Confirmation needed: $105B capex investments driving margin expansion, not just top-line

If you're bearish:
- ⚠️ Don't short into this momentum - AWS just grew 20% (fastest since 2022!)
- πŸ“Š Wait for stock to fail at $250 resistance before initiating bearish positions
- 🎯 First target would be $245 support, then $240 if that breaks
- πŸ“‰ Put spreads ($250/$240 or $245/$235) offer defined risk way to play consolidation
- πŸ”„ Better opportunity may come after another failed breakout attempt at $250

Mark your calendar - Key dates:
- πŸ“… November 7 (7 days) - Weekly options expiration; market expects Β±10.26% move ($226-276 range)
- πŸ“… November 21 (21 days) - Monthly OPEX, expiration of the $150M short calls; critical test of $210-247 range
- πŸ“… December 19 (49 days) - Quarterly triple witch; key technical levels tested
- πŸ“… Late January 2026 - Q4 2025 earnings report; THE major catalyst for Feb options
- πŸ“… February 20, 2026 (112 days) - Expiration of the massive $167M call position; verdict on AI thesis

Final verdict: This is one of the most sophisticated institutional plays we've seen all year. The $167M bet on February 2026 suggests someone has HIGH conviction that AWS re-acceleration, advertising growth to $100B, and AI infrastructure buildout will drive AMZN meaningfully higher by Q1 2026. BUT the simultaneous $150M in profit-taking shows they're not blind bulls - they recognize near-term resistance and elevated valuations post-earnings.

For retail traders: Don't FOMO into expensive options right after a 12% gap. Be patient, wait for better risk/reward. If you believe the AI story, the opportunity is in the next pullback to $240, not in chasing $247. And if you're going to play options, consider spreads to reduce cost rather than paying peak IV on straight calls.

Disclaimer: Options trading involves substantial risk of loss and is not suitable for all investors. This analysis is for educational purposes only and not financial advice. Past performance doesn't guarantee future results. The 920x unusual score for the February trade reflects its size relative to recent history - it does not imply the trade will be profitable or that you should follow it. Amazon's stock can be highly volatile, with the market currently pricing in 10%+ weekly swings. The $105B capex program, while potentially transformative, creates near-term margin pressure. AWS competition from Azure and Google Cloud is intensifying. Always do your own research and consider consulting a licensed financial advisor before trading. Post-earnings volatility creates elevated risk for both stock and options positions.


About Amazon.com Inc. (AMZN): Amazon is the world's largest e-commerce and cloud computing company with a $2.63 trillion market cap, offering a broad portfolio of online retail, cloud services (AWS), digital advertising, streaming video, and subscription services in the Retail - Catalog & Mail Order industry.

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