Daily Options Income Strategy | AI Cloud Computing Takes Off! IREN Secures $2.8 Billion Contract—How to Capitalize on the Compute Leasing 'Window'?

I. Market Barometer

Major U.S. indices closed slightly lower in the previous trading session. Bitcoin miners pivoting to AI cloud $IREN Ltd (IREN.US)$ and $Hut 8 (HUT.US)$ saw its share price rebound after announcing a new contract. The high-volatility environment driven by sector-wide positive catalysts has created a premium window for options sellers.

II. Watchlist Highlights

IREN: $2.8B Contract Signed + ARR Target Raised to $4B, Shares Surge Nearly 20%

$IREN Ltd (IREN.US)$ On the previous trading day (July 20), the stock rose 19.57% to close at $40.20, hitting an intraday high of $41.10 and a low of $36.31, for a full-day volatility of approximately 13%. Trading volume reached $3.681 billion, with a turnover rate of 30.218% and a volume ratio of 2.301, indicating significant capital inflows.

The current technical setup is in a sharp rebound phase following a steep decline.Although the stock surged 20% in a single day, it remains down over 40% for the month since its June 3 high of $70.71. Monday’s closing price of $40.20 is still well below the 60-day moving average, placing it in a technically weak zone.

The 30-day implied volatility (IV30) stands at a lofty 142.75%, within the highest range of the past year. The put/call volume ratio is 0.72, reflecting an optimistic sentiment in the options market.

The key catalyst behind this surge was the company’s announcement on Monday regarding significant contract progress.IREN confirmed it has signed a multi-year cloud services contract worth $2.8 billion. While Iren did not disclose the client’s identity, it noted that its customer base now includes $Microsoft (MSFT.US)$ 、 $NVIDIA (NVDA.US)$ Core Scientific, Perplexity, Figure AI, Together AI, Fluidstack, Fireworks AI, Fal AI, Hume AI, among others. Based on these developments, the company has raised its 2026 annual recurring revenue (ARR) target for its AI cloud business from $3.7 billion to over $4 billion, with approximately 85% already under contract.

On the capacity expansion front, co-CEO Daniel Roberts stated that the company's self-built AI cloud capacity has expanded from approximately 3 MW over the past 12 months to 480 MW scheduled for delivery this year, with a target of 1.2 GW by 2027. Prepayment arrangements included in new customer agreements cover about 45% of GPU-related capital expenditures, significantly easing funding pressure. As of June 30, the company held approximately $7.6 billion in cash, supporting further expansion.

At the sector level, IREN is not the only winner.On the same day $Hut 8 (HUT.US)$ announced a $9.8 billion, 15-year lease expansion agreement, driving AI cloud and mining-transition companies such as NBIS, TeraWulf, and Core Scientific up 5%–12%.

Analyst consensus: Analysts maintain a 'Buy' consensus rating, with an average price target of approximately $80.22, a high of $100, and a low of $46. However, one analyst assigned a 'Sell' rating. The core of market divergence lies in whether IREN can convert contracted ARR into actual revenue over the next few quarters and achieve profitability amid persistently high capital expenditures.

3. Options Premium Collection Strategy

1. Cash Secured Put

Sell 1 contract of $IREN Ltd (IREN.US)$ IREN July 31, 2026 $28 Put; estimated required margin (for reference only): $2,800 ($28 × 100)

Opportunity Rationale:

For investors who acknowledge the long-term demand for AI computing power leasing but have not yet established positions, IREN has staged a sharp rebound, catalyzed by the upward revision of its contracted value to $2.8 billion and its ARR target to $4 billion. However, the stock remains down over 40% from its recent high within the month, posing technical resistance for short-term chasing.

Visibility into the company's computing power leasing business has improved significantly. By selling put options, investors can collect premium income in an environment of extremely high implied volatility if the stock stabilizes or continues its corrective rebound in the current range; if the share price declines again due to sector rotation or profit-taking, they may also have the opportunity to establish positions at more attractive, risk-adjusted cost levels.

2. Covered Call

Hold 100 shares $IREN Ltd (IREN.US)$ , sell 1 IREN August 21, 2026 $65 Call

Opportunity Rationale:

For investors already holding IREN and facing significant unrealized losses, the over-40% decline from the monthly high indicates dense overhead resistance. IREN has taken critical steps toward customer diversification and achieving its ARR targets, but translating contracted revenue into actual profitability still entails execution risk.

If investors are bullish on the company's long-term value as it transitions from a mining firm to an AI cloud platform but are concerned about short-term high volatility and potential turbulence ahead of Q2 earnings, they could consider selling call options. If the stock price consolidates near current levels, the option premium received can gradually lower the cost basis of their position; if subsequent contract revenue conversion progresses smoothly or better-than-expected earnings drive a price rebound leading to exercise, this would effectively realize a阶段性 profit-taking at a key resistance level.

IV. Risk Management Advisory

Although seller strategies have a high win rate, investors must still implement proper risk management:

– Position sizing is key:The biggest risk of option selling strategies lies in black swan events. It is recommended that the margin allocated to any single underlying asset should not exceed 20% of total capital. Never sell options beyond your risk tolerance just for the sake of collecting premium.

– Timely rolling of covered calls:If a covered call becomes deeply in-the-money (i.e., the stock price significantly exceeds the strike price) and you remain bullish on the underlying stock, promptly 'roll' the position—close the current option by buying it back and simultaneously sell a new call with a later expiration and a higher strike price—to avoid having your shares called away at an unfavorable price.

– Beware of 'left-tail risk' with cash-secured puts:For cash-secured puts, if the stock price crashes due to fundamental deterioration (rather than normal pullbacks), do not hold on stubbornly. In such cases, exit with a stop-loss or 'roll down' the position to buy time and wait for volatility to normalize.

Make good use of the Option Seller Hub to understand potential income strategies for selling options,Earn option premiums!

Options Risk Disclosure

An option is a contract that grants the holder the right—but not the obligation—to buy or sell an underlying asset at a fixed price on or before a specified date. The price of an option is influenced by various factors, including the current price of the underlying asset, the strike price, time to expiration, and implied volatility. Implied volatility reflects the market's expectation of future price fluctuations over the life of the option; it is derived by reverse-engineering the option’s price using the Black-Scholes pricing model and is commonly viewed as an indicator of market sentiment. When investors anticipate greater volatility, they may be willing to pay higher premiums for options to hedge their risk, leading to higher implied volatility. Traders and investors use implied volatility to assess the attractiveness of option prices, identify potential mispricings, and manage risk exposure.

Disclaimer

This content does not constitute an offer, solicitation, recommendation, advice, opinion, or any guarantee regarding any securities, financial products, or instruments. Trading options involves substantial risk of loss. In certain circumstances, your losses may exceed the initial margin deposit. Even if you place contingent orders, such as 'stop-loss' or 'limit' orders, you may not necessarily avoid losses, as market conditions may prevent these orders from being executed. You may be required to deposit additional margin on short notice. If you fail to provide the required amount within the stipulated time, your open positions may be liquidated. Nevertheless, you remain liable for any resulting deficit in your account. Therefore, you should thoroughly research and understand options and carefully consider whether trading them is suitable for you based on your financial condition and investment objectives. If you trade options, you should familiarize yourself with the procedures for exercising options and handling expiration, as well as your rights and obligations upon exercise or expiration. Options trading entails very high risk and is not appropriate for all investors. Investors should carefully read the document 'Characteristics and Risks of Standardized Options' before engaging in any options trading strategy.

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