Mike Khouw Sees Unusual Options Activity In Ambarella

On CNBC's Options Action, Mike Khouw spoke about unusually high options activity in Ambarella Inc AMBA. When the stock was trading at $51.84, Khouw noticed that call options volume was 1.5 times higher than the daily average call options volume and there was 50 percent more bullish bets than bearish ones. The most active options were the January 52.50 calls and they were trading for $5.50. The breakeven for this trade is at $58. Ambarella closed the session on Tuesday at $56.96 so this trade needs a 3 percent move higher from Tuesday's close to break even.