Mike Khouw's Uber Options Trade

On CNBC's "Options Action," Mike Khouw suggested an options strategy for investors with a long position in Uber Technologies UBER.

He wants to exploit high implied volatility in the name and sell calls against a long stock position. Specifically, he wants to sell the July 43 call for $3.50. With the sale of the call, he limits the selling price to $46.50, but he gets downside protection of 8.35 percent.

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