Dan Nathan Sees Unusual Options Activity In SPDR Gold Trust (ETF)

On CNBC's Options Action, Dan Nathan spoke about an unusually high bullish options bet in SPDR Gold Trust (ETF) (NYSE: GLD) that he noticed on Thursday. Gold closed the session sharply higher and the options trading volume was four times higher than the average options trading volume. Calls outnumbered puts 4 to 1.

When the ETF was trading at $118.50, a trader sold to close 20,000 contracts of the March 133 calls and bought 20,000 contracts of the March 140 calls for $0.30. Nathan explained that the trade breaks even 18 percent higher from current levels.