Market Overview

Dan Nathan Sees Unusual Options Activity In PowerShares QQQ Trust

Related QQQ
Senate Plan For Delayed Corporate Tax Cut Shakes The Market
How To Spot A November Correction
A Short Burst Of Corporate Earnings Reports On Tap Before The Thanksgiving Feast (Seeking Alpha)

Speaking on CNBC's "Options Action", Dan Nathan said he noticed a big put options activity in PowerShares QQQ Trust, Series 1 (ETF) (NASDAQ: QQQ) Thursday. He finds the high put volume interesting, because the stock is trading close to its 52-week highs.

Shortly after the opening, put volume started picking up and by the end of the day it outnumbered call volume 1.5 to 1. Nathan noticed that 76,000 contracts of the January 2019, 135 strike puts were bought for $6.60 during the trading session. The trade breaks even at $128.40 or 13.11 percent lower. Nathan believes that the trade is a hedge against a long portfolio of major tech stocks.

Posted-In: Dan Nathan Options ActionCNBC Options Markets Media


Related Articles (QQQ)

View Comments and Join the Discussion!

Partner Center