Mike Khouw Sees Unusual Options Activity In AMD

On CNBC's "Options Action," Mike Khouw said call volume in Advanced Micro Devices, Inc. AMD outpaced put volume for the last 20 days on average by about two to one. Behind a lot of that activity were small investors who were trading short-dated options.

The most active options in AMD were the March 12, $80 strike calls. Around 11,000 contracts were traded for $2.45, which sets the breakeven for the trade at $82.45 or 1.5% above the closing price on Thursday.