Dan Nathan Sees Unusal Options Activity In Deere & Company

Dan Nathan spoke on

about unusually high options activity in

. He said that there was two times average daily options volume and calls outnumbered puts 2 to 1. Nathan explained that the reason for the increased activity is the news about Buffett increasing his stake in the stock. The most active strike of the day was the March 95 call option, which closed the session at $1.14. The break even for the trade is at $96.14 or approximately 4 percent higher at March expiration. Nathan added that the company is reporting earnings on Friday morning and making a defined bet with options makes sense. He also showed on a chart that the stock is close to a break out point and it could jump to $100 on the Buffett news.