Dan Nathan's Oracle (ORCL) Trade

Dan Nathan said on CNBC's Options Action that if you don't already have a long position in Oracle Corporation ORCL, you have missed the boat. He can't recommend you buy this stock at its 9 year high, but Oracle (ORCL) is a great company and Dan Nathan has a strategy that could give you a long exposure without a big premium outlay. Oracle (ORCL) is going to report earnings in December, and Dan Nathan suggested investors to consider a risk reversal strategy with an expiration in December. His strategy includes selling the December 25 put for $0.65, and the December 30 call for $0.40. He also wants to buy the December 28 call for $1.10. This strategy would cost him a nickel, and if the stock is $28.05 or higher at expiration he will make money. The profit is capped at $30. Oracle Corporation (ORCL) spiked 8.36% on Friday, and closed at $27.48.