Nvidia Corp. closed at $222.27, up 1.34%.

Two large bearish option spreads dominated NVDA’s flow, totaling over $3.22 million in net value. A $1.89 million bear put spread and a $1.33 million bear call spread signaled institutional caution into late 2026, despite NVDA’s implied volatility sitting at only the 3.59 percentile. With options statistically cheap and call volume nearly double put volume, large traders still leaned toward downside or upside-capping structures, suggesting a guarded outlook even as the stock posted a modest daily gain.

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Options Indicators

NVDA’s implied volatility is 35.45%, and with an IV percentile of just 3.59%, current option volatility sits at the very low end of its recent range, indicating options are cheaply priced rather than expensive. At the same time, the IV/HV ratio of 0.78 suggests implied volatility is running below realized volatility, reinforcing the view that current premiums are relatively inexpensive and that the market’s forward volatility pricing is subdued. The Call/Put volume ratio is 1.95.

Large Trades

A bear put spread with a net debit of $1.89 million stood out as one of the day’s largest directional trades, signaling a bearish stance on NVDA into the November 20, 2026 expiration. The structure involved buying 2,500 contracts of the 215.00 put, which was out of the money, while selling 5,000 contracts of the 170.00 put, also out of the money. As a bear put spread, this is a net-debit downside strategy typically used to position for a decline while capping both cost and maximum payoff range. The trade suggests the participant expects weakness in NVDA over the longer-dated horizon, but in a measured way rather than through an outright put purchase, indicating a defined-risk bearish bet with cost efficiency in mind.

A bear call spread with a net credit of $1.33 million was another major trade and also leaned bearish. The position sold 10,000 contracts of the 222.50 call and bought 10,000 contracts of the 227.50 call, both expiring on September 25, 2026, and both out of the money relative to the $222.27 reference stock price. This spread collects premium upfront and reflects a view that NVDA is unlikely to rise meaningfully above the short-call strike by expiration. Strategically, it is a premium-collection bearish position with defined risk, showing the trader was willing to fade upside and monetize expectations for capped or weakening price action. Overall, the large-trade flow points to a bearish bias in NVDA, as both highlighted block trades were structured downside or upside-capping spreads rather than bullish upside expressions, reinforcing the broader impression that institutional activity was tilted toward caution and downside positioning.

Strategy Reference

For traders aligned with the cautious flow but seeking low assignment probability on the call side, selling the September 25, 2026 260.00 call could offer a wider buffer above spot, while a narrower bear call spread such as selling the 230.00 call and buying the 240.00 call may reduce margin requirements relative to an outright short call.