Options Market Flashes Unusual Signals on Expiry Day

Today is a key weekly expiry day, with TSLA and NVDA both carrying dense near-term options chains into the close.

TSLA shows 24 active expiry dates stretching to September. NVDA's chain extends even further, with 27 listed expiries out to September 18. That density points to elevated hedging activity across multiple timeframes.

The most striking signal comes from ALGT — Allegiant Travel. Short interest spiked 54% in a single week, hitting 9.2% of float at its peak. Yet the stock rallied 10.6%. That divergence suggests a potential short squeeze setup. Options expiries for ALGT are limited to June 18 and July 17. Call activity near those strikes warrants close attention.

OTLK — Outlook Therapeutics — is also in focus. The FDA returned its eye drug for review for a fourth time today. Short interest sits at 12.4% of float. Cost to borrow has risen to 13%. Options chains run through August, with traders likely betting on binary FDA outcomes.

Macro backdrop adds context. Hedge funds are shorting European automakers on China competition fears. That pressure is filtering into related options markets across the Atlantic.

With SPY expiries running daily through late September, broad-market hedging remains active. Traders appear to be positioning defensively heading into quarter-end.

This is not financial advice.