Kevin Kelly's Salesforce Options Strangle Trade

Kevin Kelly of Recon Capital Partners spoke on Bloomberg Markets about an options trading idea for salesforce.com, inc. CRM.

He said options for salesforce.com are very cheap at the moment, and he thinks it would be a good idea to buy a strangle in the name.

Kelly wants to buy the June 80 put for $3.20 and the June 87.50 call for $3.10. The strangle would cost him $6.30 and he is going to make money if the stock jumps more than 13 percent, above $93.80, or if it drops more than 11 percent, below $73.70.