NVIDIA closed at $228.86, up 1.68%.

Large options trades revealed a clear institutional tilt toward downside protection, led by an $8.70 million in-the-money put purchase and a bearish synthetic put into 2027. The block flow outweighed scattered bullish call buys, with long-dated structures signaling conviction for sustained risk rather than a short-term hedge.

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

Options Indicators

NVIDIA’s implied volatility is 38.42%, and with an IV percentile of 14.74%, current option volatility sits on the low side relative to its own recent history, indicating that options are cheaply priced rather than expensive. The IV/HV ratio of 1.40 further shows implied volatility is running above realized volatility, meaning the options market is still embedding a premium over past actual movement, but overall pricing remains in the cheaper part of its historical range.

The Call/Put volume ratio is 2.34.

Large Trades

A put buy worth $8.70 million was the standout large trade, with 2,300 contracts of the June 16, 2028 $230.00 put purchased at a strike just above the $228.86 reference stock price, making it in the money. This is a clearly bearish position with long-dated protection or downside speculation built in, and the maturity profile suggests the buyer is positioning for a sustained risk horizon rather than a short-term hedge. Because the strike sits close to spot while still in the money, the trade carries meaningful downside sensitivity and signals conviction that NVDA may face pressure over time.

A bearish synthetic put with a net credit of $439,200 was the other featured combination trade, created by selling 1,200 contracts of the January 15, 2027 $280.00 call and buying 1,200 contracts of the January 15, 2027 $150.00 put. Both legs were out of the money versus the $228.86 reference price, but together they express a distinctly negative directional view by combining capped upside exposure from the short call with downside participation from the long put. The fact that the structure was established for a net credit adds to the defensive, risk-off tone, indicating the trader was willing to monetize call premium while positioning for weakness into 2027.

Overall, the large-trade flow points to a bearish bias in NVDA. The clearest signal came from the dominance of downside-oriented premium, led by the sizable long-dated in-the-money put purchase and reinforced by the bearish synthetic put structure, both of which reflect purposeful positioning for weakness rather than routine short-term trading. Although there were several bullish call buys elsewhere in the broader tape, they were not enough to offset the scale and conviction of the bearish block activity, so institutional sentiment in the bulk orders leans negative.

Strategy Reference

For traders seeking low assignment probability on the call side, selling the January 2027 $310.00 call against stock or a long put can monetize elevated call premium while staying above the $280.00 short call leg of the featured synthetic put; alternatively, a January 2027 $150.00/$200.00 bear put spread reduces margin and upfront cost while still capturing downside into 2027.