Tony Zhang's Eli Lilly Trade

On CNBC's "Options Action," Tony Zhang recommended a bullish options trade in Eli Lilly And Co LLY. He said the stock has been underperforming the broader markets and the health care sector for the last few months, but it has recently broken out above the $155 price level and it broken its downtrend.

Zhang wants to buy the December $155/$170 call spread for a total cost of $5.50. The trade breaks even at $160.50 and it can make a maximal profit of $9.50. If the stock trades substantially higher in the near term, Zhang is going to roll his position to the $170/$190 level.