Dan Nathan's General Electric Trade

Speaking on CNBC's Options Action Dan Nathan suggested a bullish options strategy in General Electric Company GE.

The company is due to report earnings on Friday before market opening, and the options market is implying a 2 percent move in either direction. The stock is trading 12 percent lower from its 52-week highs and it is down year-to-date.

Nathan believes the stock is going to trade $1 higher after the earnings, if the company doesn't guide down. To make a bullish bet he wants to buy the October 21 expiration, 29-strike call for $0.30. The trade breaks even at $29.30 or 1.4 percent higher from the current price and if the stock moves to $30 after the earnings, Nathan is going to make a profit of $0.70.