Dan Nathan Sees Unusual Options Activity In CBS Corporation
CNBC Options Action's Dan Nathan spoke on the show about bullish options activity in CBS Corporation (NYSE: CBS). He said that there was 8 times average daily options volume and 90 percent of the volume was in call options.
The company is due to report earnings on Thursday after the close and the options market is implying a 3 percent move. When the stock was trading around $57 a trader bought 12,000 of the February 57 calls for $1.23.
Nathan added that at the same time somebody sold 6,000 shares of CBS Corporation, so the purchase of the call options could be a stock replacement strategy.
The stock is currently trading close to its 200-day moving average and traders are looking for a technical break out on better than expected results.
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