Market Overview

Mike Khouw Sees Unusual Options Activity In GLD

Share:
Mike Khouw Sees Unusual Options Activity In GLD

On CNBC's "Options Action," Mike Khouw said that calls significantly outpaced puts in SPDR Gold Trust (NYSE: GLD) on Tuesday. The big call volume was the result of the purchase of the December $190/$200$/210 call butterfly for the net premium of 75 cents.

A trader bought 10,000 contracts of the December $190 calls, sold 20,000 contracts of the December $200 calls and bought 10,000 contracts of the December $210 calls. Khouw explained that the buyer is betting $750,000 that GLD could rise more than 12% by December expiration, targeting $200.

 

Related Articles (GLD)

View Comments and Join the Discussion!

Posted-In: CNBC Mike Khouw Options ActionOptions Markets Media Best of Benzinga