Dan Nathan Sees Unusual Options Activity In The Regional Banking ETF

Dan Nathan spoke on CNBC's "Options Action" about unusually high options activity in SPDR KBW Regional Banking (ETF) KRE.

When the stock was trading at $56.11, shortly after the opening on Monday, there was a buyer of 14,000 contracts of the December 57 calls for $0.70. The trade breaks even at $57.70 or around 3 percent above the current market price. Nathan explained that the trader is playing for a break out on the upside, going into the year end.