Large Options Bet Placed on Glaukos Rally to $180 by Mid-October

A significant and directional options trade in Glaukos Corp. (GKOS) suggests at least one large trader is positioning for a substantial rally in the medical technology company's shares by mid-October. The activity centers on a large bull call spread, a strategy that profits from a rise in the underlying stock price to a specific target.

Details of the Trade

The dominant structure observed in the market was a $160/$180 bull call spread expiring on October 16, 2026, according to options data. This trade involved buying 770 call contracts at the $160 strike price while simultaneously selling 770 call contracts at the $180 strike.

Key details of the position include:

• The trade accounts for 1,540 contracts, representing the majority of the day's total volume of 2,311 contracts in GKOS options.
• Prior open interest in these contracts was minimal, indicating this is a newly established position.
• With GKOS trading near $159, the trade is a bet that the stock will rally more than 12.5% in approximately 18 calendar days.

Market Signals and Technicals

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This bullish bet is accompanied by a notable shift in options pricing. The 3-month implied volatility for Glaukos jumped by 3.65 percentage points to 54.52%, signaling that the market is pricing in a higher probability of significant price swings in the near future.

The technical picture for the stock is mixed, which can often prompt options-based strategies. While daily and weekly indicators show sell signals based on some metrics, the monthly trend remains a "Strong Buy." Notably, a Bullish Engulfing candlestick pattern appeared on the daily chart, a potential reversal signal that could support the bullish thesis if confirmed.

Context and Headwinds

Despite the optimistic trade, the bet faces several headwinds. Glaukos stock has declined 11.6% over the past month, and corporate insiders, including the COO and CFO, have recently sold shares. The $180 target of the call spread coincides with a level where the CFO last sold stock, potentially creating a natural resistance level.

Furthermore, an analyst rating from UBS on July 30, 2026, held a Neutral view on the stock with a $172 price target. The call spread's structure, however, defines and limits the trader's maximum loss to the net premium paid, offering a calculated risk against these opposing factors.