A significant options trade on the Nasdaq 100 has caught the attention of bullish investors, signaling confidence in a potential rally. On Thursday, a trader spent $24 million on a multi-part call spread in the Invesco QQQ Trust ETF, betting on the Nasdaq-100 index reaching a new all-time high by the end of July. This trade was the third-largest options transaction of the day and involved purchasing 28,000 calls at a 736 strike price with a July 31 expiration, while simultaneously selling a call spread at slightly lower strikes to reduce cost.

Despite the index trading near flat since mid-May and last peaking on June 3, options activity suggests traders are positioning for upward movement. The breakeven point for this complex position is around 750, just above the current QQQ high, requiring the index to move higher to be profitable. Traders noted that if the index fails to gain momentum, this position could result in losses given the cost structure, but the trade’s scale indicates a strong directional belief in a market surge.

The options market overall showed balanced call buying and selling, with substantial volume tied to both bullish and neutral bets. Notably, on the same day, other large bullish trades took place in the S&P 500 ETF (SPY), including a $50 million purchase of deep in-the-money calls expiring in late July. Another notable move was a $46 million call purchase on nuclear energy company Oklo, reflecting investors’ willingness to place large bets in diverse sectors.

This flurry of high-value trades in major ETFs and select stocks highlights a strategic shift among traders aiming to capitalize on potential short-term market gains despite recent volatility. As these positions hinge on a timely rise in the Nasdaq 100 and broader indices, market participants will be closely watching for signals that confirm or challenge this bullish conviction heading into the end of July.