Carter Worth And Mike Khouw's United States Oil Fund LP Trade

On CNBC's "Options Action," Carter Worth shared his analysis on crude oil. He noticed a pattern of minor pullbacks, followed by a recovery in the price and since the commodity is currently on a similar pullback, he expects to see a move higher. To make a bullish trade, he would use United States Oil Fund LP USO.

Mike Khouw wants to use options to make a bullish trade. He thinks that crude oil could move in either direction, so he doesn't want to sell puts. Instead, he wants to buy the July 13.50 call for 42 cents. The trade breaks even at $13.92 or 8.16 percent above the closing price on Friday.