Mark Sebastian's Financial Select Sector SPDR Fund Trade

Mark Sebastian of Options Insight shared with the viewers of Bloomberg Markets his bullish options trade in Financial Select Sector SPDR Fund XLF.

He wants to buy the March 27 calls in the name for 12 cents. The trade breaks even at $27.12 or 11.01 percent above the current stock price. Sebastian explained that the stock has been a little bit of a lagger relative to the S&P 500, but he thinks it has a potential to catch up.