Dan Nathan's American Airlines Group Inc Trade

CNBC's Options Actions Dan Nathan said on the show that he saw a big call options volume in American Airlines Group Inc (NASDAQ: AAL) on Thursday and it reached three times average daily call options volume. Calls outnumbered puts 3 to 1.

During the Thursday's trading session a trader bought 10,000 contracts of the January 40 calls for $0.82. The breakeven for this trade is at $40.82 and the stock closed at $31.98 on Friday.

Nathan is not bullish on American Airlines Group Inc because he is concerned with Ebola panic that could hurt the airline sector. He would take the opposite trade and buy a put spread. He expects a correction of 5 to 10 percent for the stock.

Posted-In: Dan NathanCNBC Media

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