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Large AMZN Call Spread Nets 6.2% Gain on Over 13,700 Contracts
On October 31, 2025, an unusually large call spread trade took place in Amazon.com (AMZN) options, highlighting significant activity and directional speculation. The spread, which consisted of buying the 252.5-260 calls expiring November 7, 2025, traded a hefty 13,746 contracts at a VWAP price of $1.66 per spread. By 11:30 am, the market valued this position at $1.76—representing an immediate 6.2% gain, or $0.10 per spread, thanks to a $1.50 uptick in AMZN shares from $247.12 to $248.62.
Trade Details—Structuring a High-Stakes Position
| Trade Attribute | Details |
|---|---|
| Trade Date/Time | Oct 31, 2025 10:23:43 |
| Expiration Date | Nov 7, 2025 |
| Strike Prices | 252.5 - 260 (Call Spread) |
| Number of Contracts | 13,746 |
| VWAP Trade Price | 1.66 |
| Current Market Price | 1.76 |
| Bid / Ask | 1.59 / 1.70 |
| Stock Reference Price (Trade) | 247.12 |
| Stock Price (Current) | 248.62 |
| Days to Expiration | 7 |
Analyze more multi-leg AMZN trades here.
Trade Insights: Potential Motives and Payouts
By buying this call spread, traders committed over $1.1 million, seeking a maximum profit close to $4 million should AMZN close above $260 at expiration. With only seven days until expiry, the bet requires Amazon to rise another $11.38 from the current $248.62—a bold, time-sensitive play.
Trade Payout Profile
| Scenario | Payout per Spread |
|---|---|
| Below $252.50 | -$1.66 (total premium paid) |
| $252.50 – $260 | Partial profit (maxes at $5.84/spread) |
| Above $260 | +$5.84 (max profit) |
For a deeper dive into similar strategies or recent large trades, see the multi-leg trade screener.
Technical Indicators Remain Bullish
Amazon’s stock price at $248.62 is up 11.56% for the day, having rallied 54.1% from its 52-week low. Notably, it is now only 2.5% below its 52-week high and stands above all major moving averages. Technical momentum appears strong, supported by an impressive open jump of 12.2%—though the price did ease slightly after the open (-0.6%).
| Indicator | Current Value |
|---|---|
| 20-Day Moving Average | 221.11 |
| 50-Day Moving Average | 225.05 |
| 250-Day Moving Average | 214.49 |
| % Above 20DMA | 12.4% |
| % Above 50DMA | 10.5% |
| % Above 250DMA | 15.9% |
The stock is also outperforming the market over most time frames. Over the last year, AMZN has gained 29% compared to SPY’s 19.2%. However, its three-month return lags the market slightly. Short-term momentum (past two weeks) is strong: AMZN is up 15.9% vs. the SPY’s 3.5% gain.
Performance Table: AMZN vs SPY
| Duration | AMZN Return | Low | High | SPY Return |
|---|---|---|---|---|
| Today | +11.6% | 245.12 | 250.50 | +0.6% |
| 2 Week | +15.9% | 211.03 | 250.50 | +3.6% |
| 1 Month | +13.2% | 211.03 | 250.50 | +2.7% |
| 3 Month | +8.0% | 211.03 | 250.50 | +8.1% |
| 6 Month | +34.8% | 183.85 | 250.50 | +24.0% |
| 1 Year | +29.0% | 161.38 | 250.50 | +19.2% |
| YTD | +13.3% | 161.38 | 250.50 | +17.6% |
| 3 Year | +140.4% | 81.43 | 250.50 | +81.2% |
| 5 Year | +63.8% | 81.43 | 250.50 | +119.5% |
Skew Indicators Are Bearish Despite Price Momentum
While technicals show strong upside, the options market presents a contrasting outlook. The 30-day implied volatility skew—an indicator that measures relative pricing of out-of-the-money puts vs. calls—shows a proprietary skew rank of just 11%, one of the lowest readings in the past year. This rank signals traders are hedging more aggressively for downside or pricing higher risk in calls above the market, pointing to a broadly bearish or defensive stance despite recent price strength.
Key Takeaway: Technicals Suggest Upside, Options Skew Flags Caution
This week’s call spread buyers are betting on a sharp, short-term rally, but option market pricing implies the majority of traders are more cautious or hedged. While AMZN’s strong technical performance could push the stock toward higher highs, the subdued skew reading warns of persistent skepticism in the options market. Investors watching AMZN may want to keep an eye on both sides—whether momentum overcomes bearish sentiment, or if the skew’s warning prevails.
For more details or to explore additional large option trades on AMZN or other tickers, visit the Multi-Leg Trade Screener.
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