AAPL Bull Call Spread — 2026-08-21

AAPL (Apple Inc. - Common Stock) shows bullish unusual options activity: $6532K of buyer-initiated unusual call flow (100% call-dominant) detected across near-term expirations, with a peak vol/OI ratio of 0.2x on the 320 call. IV rank is 77 (elevated) — too rich to buy a naked option into, so this is structured as a bull call spread (320/322.5) to cut vega and cost. Buy the $320 / sell the $322.5 call bull call spread expiring 2026-08-21 (29 DTE) for a net debit of $1.30 ($130 per spread). Breakeven at $321.30; net delta 0.04. NOTE: earnings (2026-07-30) fall inside the trade window — premium will likely crush on the print; sized/structured defensively and not a hold-through-earnings idea.

Underlying: AAPL @ ~$320.60 | 2026-08-21 (29 DTE) | Net debit (entry): ~$130 per spread. Use limit orders at the mid or slightly worse.

MAX LOSS: Limited to the net debit ($130 per spread). Max gain is capped at the strike width minus the debit — a defined-risk, defined-reward trade. | IV RISK: IV rank is 77 — elevated IV inflates premiums; a vol crush could erode value even if direction is correct (the short leg offsets some of this vega). | TIMING: 29 DTE — unusual flow is a near-term signal; act promptly or the setup may stale. Close or take profit before expiration week to avoid gamma risk. | SECTOR: AAPL is in Technology — avoid concentration with other open Technology positions. | EXECUTION: Use limit orders at mid or slightly worse on the spread (don't leg in). Verify the bid-ask before sending; do not chase with market orders. | EARNINGS: Report on 2026-07-30 lands inside this trade. Expect a vol crush on the print — this is structured as a spread for that reason; do not add size into the event.