Market Overview

Mike Khouw Sees Unusual Options Activity In SPDR S&P Retail ETF

Related XRT
The Case For Owning Beaten Up Retail Stocks
Video: National Comic Book Day Reveals The Upside Of Brick And Mortar

Mike Khouw spoke on CNBC's Options Action about unusually high options activity in SPDR S&P Retail (ETF) (NYSE: XRT).

Put options volume in the name was six times higher than the average put options volume and there was one big trade in the January expiration options.

An institutional trader bought 15,000 contracts of the January 45/42 put spread for $0.65. The trade breaks even at $44.35 or 3.61 percent below the current stock price. If SPDR S&P Retail (ETF) drops 8.72 percent to $42 at the January expiration, the trade is going to earn the maximal profit of $2.35.

Posted-In: Mike Khouw Options ActionCNBC Options Markets Media


Related Articles (XRT)

View Comments and Join the Discussion!

Partner Center