Mike Khouw Sees Unusual Options Activity In Ford

On CNBC's "Options Action," Mike Khouw spoke about unusually high options activity in Ford Motor Company F.

During the session on Tuesday, Khouw noticed that around 2,000 contracts of the September 9.5 calls were traded for 10 cents. The trade breaks even at $9.60 or 3.11 percent above the current market price. The call option expires on Friday. Khouw added that the options market is implying that a dividend cut in Ford is possible.