Dan Nathan Sees Unusual Options Activity In Intel

On CNBC's Options Action, Dan Nathan spoke about unusually high bullish options activity in Intel Corporation INTC. Call options volume was three times higher than the put options volume on Tuesday and there was a one large trade that caught Nathan's attention.

When the stock was trading at $37.15, a trader bought 50,000 contracts of the November 41 calls for $0.16. The trade breaks even at $41.16 or 10.82 percent higher from the current stock price. Nathan explained that the November 41 call is far out of the money, with a delta of 11. He thinks the trader is probably looking at Intel's Q3 earnings results and he or she may be levering up an existing long position.