Scott Nations Recommends An Options Strategy In Technology SPDR (ETF) (XLK)

Scott Nations said on CNBC's Fast Money that he is watching Technology SPDR (

)

. He suggested investors to consider a bearish options strategy in this ETF. He thinks that tech spending is not going to increase any time soon, and wants to buy a put spread to get some protection. Specifically, Scott Nations wants to sell the December 20 put for $0.30, and buy the December 17 put for $1.00. This trade structure would cost him $0.70, and if the stock drops below $17, Scott Nations will make $2.30. Technology SPDR (

) (

) fell 0.34% today, and closed at $20.69.