Mike Khouw's Amazon (AMZN) Trade

Mike Khouw said on CNBC's Options Action that he wants to make a bearish bet on Amazon.com

. He explained that Amazon (

) tested 200-day moving average earlier and failed to break through it. Mike Khouw wants to make a bearish bet using weekly options in Amazon (

). He wants to sell the July weekly 110 for $1.75, and buy the July weekly 115 for $3.15. This structure would cost him $1.40, and it could be worth $5 at expiration. Amazon (

) fell 2.92% on Friday, and closed at $118.49.