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Dan Nathan Sees Unusual Options Activity In General Electric

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On CNBC's "Options Action", Dan Nathan spoke about unusually high options activity in General Electric Company (NYSE: GE). He said the total options volume was 2.5 times the average daily volume.

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There was one trade that caught Nathan's attention. A trader bought 10,000 contracts of the January 2019, 10 strike puts for $0.16. The trade breaks even at $9.84 or 45.03 percent below the current market price. Nathan believes this isn't a protection. He sees it as an implied volatility trade, because implied volatility might increase significantly in the name and push the value of the put option higher.

Posted-In: CNBC Dan Nathan Options ActionOptions Markets Media


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