Option Focus | Micron’s Largest Trade Sells 2,160 Out-of-the-Money $1,000 Puts to Collect Premium, Signaling Mildly Bullish Confidence in Downside Support

Option Witch
Sep 25

Micron closed at USD 1080.53, up 0.81 % from the previous session.

The largest displayed options trade was a $207.00 thousand short put position, with 2,160 contracts sold at the 1000.00 strike expiring on 2026-09-25. This out-of-the-money put sale dominated the flow and suggests a moderately bullish, income-oriented stance, as the trader appears willing to collect premium while expressing confidence that Micron will remain above the 1000.00 level through expiration.

>>>Start OPTIONS trading & earn up to SGD 200 in rewards!

Options Indicators

Micron’s implied volatility is 67.12%, and with an IV percentile of 22.31%, current option pricing sits on the lower side of its own historical range, indicating options are relatively cheap rather than richly priced. At the same time, the IV/HV ratio of 1.33 shows implied volatility is still running above realized volatility, meaning the market is pricing in somewhat higher forward uncertainty than what has recently been observed.

The Call/Put volume ratio is 1.61.

Large Trades

A $207.00 thousand short put was the largest displayed large trade, with 2,160 contracts sold at the 1000.00 strike expiring on 2026-09-25. With Micron referenced at 1080.53, this put was out of the money at the time of the trade, making it a moderately bullish income-oriented position. Selling an out-of-the-money put typically reflects a view that the stock will remain above the strike through expiration, while also expressing willingness to accumulate shares at a lower effective entry level if assigned.

Overall, the bulk-order flow leans bullish. The clearest signal came from the sizable out-of-the-money put sale, which suggests confidence in downside support and a preference to monetize elevated option premium rather than position for a breakdown. Although there was also a bearish same-direction long put combination in the wider flow, indicating some traders were paying premium for downside movement, the dominant large-trade tone still points to a mildly constructive outlook rather than an outright bearish stance.

Strategy Reference

For sellers seeking a low assignment probability, shorter-dated out-of-the-money puts below key support or put credit spreads can still capture premium with less buying-power commitment, while longer-dated naked puts like the displayed 1000.00 strike require more patience and margin capacity.

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.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10