Options sentiment turned sharply defensive on Sunday as oil hit $109 per barrel and AI heavyweights called for a development slowdown.
NVDA drew the heaviest negative options flow among large-caps this week. The stock sits at an RSI of 49.75 — neutral but fragile. Negative bets ranked at the top for any semiconductor name above $5bn in market cap. Analysts still see 50% upside. But the put flow suggests traders want protection first.
MU tells a similar story. Memory-chip stocks slid on Wall Street Sunday as Saudi Arabia closed a key oil export pipeline. The stock is up 242% YTD. Heavy negative options bets this week signal some traders are locking in gains ahead of its Q4 results.
AMD — up 141% YTD — also sits high on the negative-bets table. Its RSI of 57.96 leaves room to fall. With the FOMC meeting looming, traders are buying puts across the chip space.
On the bullish side, FDX registered the highest 7-day options score among large logistics names. Its RSI has dipped to 40.46. Contrarian call buyers appear to be stepping in before its Q4 report.
LULU looks vulnerable. Down 52% YTD, its RSI sits at just 33.94. Put volume dominates its options flow. A short score of 57.78 adds to the bearish read.
Macro fear is the common thread. Oil at $109 revives rate-hike talk at the Bank of England. The Fed meeting this week adds another layer of uncertainty. Options markets are pricing more downside before any relief.
ORTEX Market Intelligence content is generated by AI from a snapshot of ORTEX's proprietary data. Content is informational only and does not constitute investment advice.
